Bitcoin (BTC) has regained its footing after a market drawdown and is now showing signs of a bullish recovery. According to market experts and supported by on-chain metrics, Bitcoin could be headed toward a new high of $108K in the near future. Both Bitcoin’s price action and the liquidation heatmaps indicate that the conditions are ripe for an upward surge.

A Market Reset and Recovery

Bitcoin’s ability to weather a recent market downturn is making waves in the crypto space. The drawdown during the August 2024 yen carry trade unwind tested Bitcoin’s support at the MVRV Bands around the 1.74-level, according to Glassnode’s insights. This level, which had historically acted as a point of support, has once again proven resilient.

The recent bounce off this level on April 8th showed Bitcoin’s strength, with the MVRV (Market Value to Realized Value) metric rising from the support level to 2.14, a sign of bullish conditions reemerging. The MVRV Bands provide insight into whether Bitcoin is undervalued or overvalued in relation to its realized price. A bounce like this typically suggests that the market has recovered from bearish conditions and is gearing up for further gains.

Bullish Signals from Bitcoin’s Percent Supply in Profit

Bitcoin’s supply-side metrics also suggest positive momentum. The Percent Supply in Profit oscillator, which tracks the proportion of Bitcoin in profit relative to its cost basis, recorded a bounce from its long-term mean at 74.8%. This metric has consistently signaled bullish behavior, with recent movements reflecting trends seen during previous market rallies, such as those in August and September 2024.

At press time, the 7-day moving average (7DMA) of the Percent Supply in Profit stood at 87%, further confirming that more and more Bitcoin holders are in profit. When this metric is high, it suggests a healthy market with strong investor sentiment, which often leads to continued price appreciation.

Liquidation Heatmaps Confirm $100K Target

The latest liquidation heatmap data from Coinglass also suggests that Bitcoin is poised for upward movement. The six-month heatmap highlights liquidity pockets that could act as key zones for future price action. Notably, the major liquidity clusters are located around $83K and $74.1K to the south, which are far from the current market price. To the north, significant levels at $100K, $106.8K, and $110.2K could act as magnets for Bitcoin’s price movement, potentially serving as strong targets in the next phase of the bull market.

With the $96.6K liquidity cluster already swept up, it’s clear that Bitcoin is gaining momentum. The breakout above the short-term range formation and the high trading volume accompanying this price move suggest that BTC is gearing up for its next leg higher. Traders are closely watching for a potential retest of the $95.4K level, which could offer another buying opportunity for swing traders looking to capitalize on the next upward push.

What’s Next for Bitcoin?

Bitcoin’s current price movement and on-chain indicators are all pointing toward a bullish future. If the market reset is truly behind us, and the on-chain metrics continue to show signs of strength, BTC could be headed for a breakout beyond the $100K level. Analysts are watching the $108K mark as the next significant target, with a surge beyond this threshold possible in the coming days or weeks.

The convergence of strong on-chain signals, liquidation heatmaps, and price action all indicate that Bitcoin’s bullish trend is far from over. For traders, this presents a critical window of opportunity to ride the wave higher. However, as with any volatile asset, caution is always advised, and careful monitoring of market conditions will be key in navigating the potential upward surge.

Conclusion: Bitcoin’s Path to $108K

Bitcoin’s resurgence from the recent market drawdown and the bullish signs in its on-chain metrics and liquidation heatmaps suggest that a move to $108K is on the horizon. The market has shown resilience in bouncing back from bearish conditions, and with the supply-side metrics indicating strong investor profit, there is reason to be optimistic. As Bitcoin continues to hold above critical support levels and pushes past liquidity zones, the momentum toward $100K and beyond looks increasingly likely.

Traders and investors should stay alert for further signals, but the current outlook is undoubtedly positive for Bitcoin’s near-term price action.