Bitcoin (BTC) continues to capture headlines as it pushes into uncharted territory, recently logging its highest-ever daily and weekly closes. The cryptocurrency closed at $106,454 on the weekly timeframe—surpassing its previous high of $104,463 from back in December. On the daily chart, Bitcoin edged higher by another $310, or 0.29%, setting yet another milestone.

This surge is not entirely unexpected. According to on-chain and exchange data, the price rally was fueled by strong accumulation activity throughout early May. At that time, Bitcoin had been consolidating around the $94,000 level—a zone that now looks increasingly like a key support base.

The accumulation wasn’t limited to just trading platforms. Both on-chain and off-chain data pointed to rising confidence among market participants. Spot demand surged on major exchanges such as Coinbase and Binance, with the Spot Cumulative Volume Delta (CVD) confirming this trend. Coinbase, for instance, registered a daily trading volume peak of $45 million when Bitcoin hovered near $80,000. On Binance, net selling pressure seen in April began to subside, with the exchange becoming only a mild net seller by mid-May.

Despite the bullish sentiment, some caution still lingers—especially among large investors. The 180-day Open Interest Delta, a key metric that tracks market participation over the long term, suggests that whales remained careful during the most recent upswing. This divergence implies that while retail and smaller institutional players have been active, some big players are still waiting for more confirmation before diving in.

Further supporting Bitcoin’s recent surge is the Cost Basis Distribution Heatmap, which offers insight into where BTC has changed hands on-chain. A significant amount of accumulation occurred around the $93,000 to $95,000 range, highlighting this level as a robust support zone. When buyers cluster in specific price areas, it often strengthens the case for a floor price, reducing the likelihood of a deeper pullback.

Another notable metric, the Realized Price for Short-Term Holders, sits at $94,200. This price reflects the average cost basis for those who have held Bitcoin for less than 155 days. This further reinforces the $93K–$95K area as a critical level where many buyers entered the market and are likely to defend their positions in the event of a price dip.

However, the market is not without short-term risks.

A closer look at the Bitcoin Liquidation Heatmap reveals a high concentration of liquidation levels in the $106.6K range. This liquidity has already been swept, leading to a brief reversal in price. The next major liquidity zone lies between $98.4K and $101K, suggesting that Bitcoin may retrace to this level before resuming its upward trajectory. Since price is often drawn toward zones of high liquidity, a short-term correction could be on the cards.

Still, overall market sentiment remains largely bullish. The achievement of record daily and weekly closes is not just a technical milestone—it also signals confidence in Bitcoin’s long-term prospects. Accumulation near the $94K level, along with firm support zones and increasing spot demand, suggest that the recent rally is not a fluke but part of a larger bullish cycle.

For now, traders and analysts alike are watching closely. If Bitcoin can maintain its footing above the $100,000 level and bounce from any potential dip, a new breakout could be imminent—one that may take it well beyond its current all-time highs.