Bitcoin's recent consolidation below $120,000 isn't signaling a market top according to multiple technical indicators. Analysts point to strong fundamentals and on-chain metrics suggesting the current bull run still has significant upside potential.

Market Structure Shows Strength

Despite cooling momentum after reaching 【$123,000】 last week, Bitcoin's underlying structure remains robust. Analytics firm Bitcoin Vector notes the network continues showing growth in both adoption and liquidity. "This isn't a top—it's a coiled setup with support beneath it," their analysis states.

Swissblock analysts observe BTC maintaining key support levels between 【$116,500】 and 【$120,000】 since mid-July. The private wealth manager describes current conditions as a transition phase rather than peak formation, with Bitcoin serving as the structural anchor for broader crypto markets.

On-Chain Metrics Suggest Further Growth

Short-term holder (STH) activity provides particularly compelling evidence for continued upside. The STH cost basis—representing average purchase prices for coins held less than 155 days—hasn't yet reached overheated territory despite recent price gains.

——When this metric approaches two standard deviations above its realized price, it typically signals local tops. Current levels suggest room for expansion toward 【$138,000】 before reaching that danger zone—— Swissblock analysts noted.

Bull Market Indicators Remain Positive

CoinGlass's proprietary dashboard tracking 30 potential top signals shows zero triggers activated. This comprehensive analysis examines multiple factors including:

• Pi Cycle Top indicator
• Market Value to Realized Value (MVRV) ratio
• Weekly Relative Strength Index (RSI)
• Reserve Risk metric

CryptosRus highlighted these findings, emphasizing that historically, more triggered signals correlate with approaching market peaks. The current absence suggests Bitcoin remains in a "hold 100%" phase of its bull cycle.

What Comes Next?

Analysts agree Bitcoin appears poised for another upward move once current consolidation completes. The combination of strong fundamentals, healthy on-chain metrics, and clear technical support creates what Bitcoin Vector describes as "waiting for ignition" conditions.

——Once momentum aligns, the breakout continues—— their report concludes, suggesting the next leg up could challenge the 【$123,000】 resistance level and potentially reach toward 【$138,000】 based on STH cost basis modeling.

As of publication time, Bitcoin trades at 【$119,850】, with the broader cryptocurrency market showing mixed performance amid ongoing regulatory developments and institutional adoption trends.