Bitcoin's Path to $183K: On-Chain Data Signals Explosive Cycle Ahead
Despite recent fluctuations and a slide from its earlier all-time high of over $124,000, Bitcoin is showing strong underlying signals pointing towards a significant upward trajectory. Currently trading around $110,219 after a weekly decline of 2% and a broader 10% drop from its peak, analysts are rigorously examining on-chain data, which reveals a compelling bullish outlook for the cryptocurrency's next cycle peak.
MVRV Price Bands Point to a Potential $183,000 Target
One of the most compelling indicators, highlighted by CryptoQuant contributor CryptoOnchain, is the Market Value to Realized Value (MVRV) Price Bands. This long-observed metric has historically proven effective in identifying both market bottoms and tops within Bitcoin's multi-year cycles. The model's lower band, often referred to as the "floor price," accurately marked market lows in 2018 and 2022, while its upper band successfully pinpointed cycle peaks in 2017 and 2021. Currently, Bitcoin's trading price is comfortably positioned above the model's floor price of approximately $52,300 and its median support level of around $91,600. This indicates a "healthy uptrend" driven by consistent activity from long-term holders. Based on historical trends and the model's projections, the ceiling price suggests Bitcoin could ascend to an impressive $183,000 by August 2025. However, analysts caution traders to monitor the mid-price band for any signs of weakening momentum, as a decisive move below this level could signal deeper corrections, even within an ongoing bullish cycle.
Investor Behavior Reveals Strong Accumulation and Support
Further analysis from CryptoQuant contributor BorisD, focusing on Bitcoin's cost basis trends on Binance, corroborates this bullish sentiment. The average deposit address cost basis on Binance has steadily climbed from $44,000 earlier this year to $62,000, indicating that investors are actively accumulating Bitcoin at increasingly higher price points, particularly around recent market highs. A significant development is the emergence of a new key support level around $108,000, which represents the average cost basis of "new whale investors"—large-scale buyers with substantial holdings. This level is anticipated to act as a critical buffer during any potential retracements. Meanwhile, long-term holders continue to demonstrate resilience, maintaining a robust cost basis near $40,000. This region has historically functioned as a strong accumulation zone, providing a bedrock of support that helps the market withstand broader corrections, reinforcing the overall positive sentiment for Bitcoin's future price action.
