Bitcoin shows early signs of new bull market, but $83,000 level is critical

Bitcoin rally triggers bullish market signals

Bitcoin has entered what analytics firm CryptoQuant calls the “initial phase” of a new bull market after a 24% price rally. The rally pushed key indicators into bullish territory, but the firm says Bitcoin must close above $83,000 on a weekly basis to confirm the trend.

At the time of reporting, Bitcoin was trading near $79,000, according to data from CoinGecko. A bull market is a period when prices rise steadily over time.

Key indicators turn positive

• CryptoQuant’s Bull Score jumped from 30 to 80 in one week, its highest since October 2025.
• Eight out of ten underlying indicators in the Bull Score are now bullish.
• Spot demand for Bitcoin is accelerating, and both spot and futures demand are growing together for the first time since early October 2025.
• LMAX Group market strategist Joel Kruger identified $82,820 as the next important resistance level.

Profit-taking and exchange inflows raise caution

Despite the bullish signals, CryptoQuant warned that the rally may face short-term turbulence. Traders’ unrealized profit margins reached 20.5%, the highest since June 2025. In early May, Bitcoin fell about 30% after a similar profit margin of 19%.

Short-term holder whales—large Bitcoin investors—realized $1.2 billion in profits between August 20 and August 22, including a record $614 million on August 20. Bitcoin exchange inflows also rose to roughly 53,000 BTC, the highest since June, suggesting more coins are moving to trading platforms where they could be sold.

What is confirmed

• Bitcoin’s price rally has triggered multiple bullish indicators, according to CryptoQuant.
• The firm’s Bull Score reached its highest level since October 2025.
• Traders’ unrealized profit margins are at their highest since June 2025.
• Whales realized $1.2 billion in profits over three days, with a record $614 million on August 20.
• Bitcoin exchange inflows hit their highest level since June.

What remains uncertain

• Whether Bitcoin will close above $83,000 on a weekly basis to confirm a new bull market.
• The short-term impact of rising profit-taking and exchange inflows on Bitcoin’s price.
• If the rally will continue toward $100,000 or the 2025 record high, as suggested by Joel Kruger.

Why this matters for Bitcoin investors

The shift in market indicators suggests Bitcoin may be entering a sustained upward trend, but the rise in profit-taking and exchange inflows could lead to short-term price swings. Investors are watching the $83,000 level closely, as a weekly close above it would strengthen the case for a new bull market.

Sources

• Cointelegraph