Why is spot demand in the crypto market strong right now?
Since Bitcoin hit a low of $75,000 on April 9, the market has experienced a significant spot-driven rally, accompanied by a significant sideways accumulation phase. This stepped pattern is clearly visible in the Cost Basis Distribution (CBD) heat map, showing clusters of supply at similar price levels over the past three months.
The accumulation mechanism before each rally eventually pushed the price of Bitcoin to $104,000. Over the past 30 days, a key absorption zone has formed between $93,000 and $95,000, which is highly consistent with the cost benchmark for short-term holders, suggesting that this area could be a strong support level.
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