Bitcoin Near All-Time High Shows Market Resilience with Potential for Further Upside

I believe Bitcoin is currently demonstrating resilience, holding steady just above the $115,000 level after a period of slight dips, which underscores renewed market strength. The bullish sentiment appears to be strengthening, especially with Ethereum experiencing substantial gains and altcoins beginning to rally, possibly signaling the start of an altseason or just a market catch-up. According to top analyst Axel Adler, Bitcoin's price near its all-time high, with a BTC Z-Score of around +1.5σ, indicates strong momentum but not yet overheated, suggesting potential for further upside before any overheating occurs. The on-chain metrics tell an intriguing story: the Adjusted Price Divergence (APD) remains negative at approximately −1.5, implying that Bitcoin's price is outpacing network activity, although the gap is narrowing. This divergence indicates that while investor sentiment and price action are driving the rally, on-chain fundamentals like transaction volume and network usage have yet to catch up significantly. For a more sustainable move, we ideally want to see APD move towards zero, either by increasing network activity or a modest cooling of price levels to better align with underlying usage. The market environment remains bullish on technical levels, with Bitcoin consolidating above key support near $115,724 and trading between that and resistance around $122,077. A breakout above $118,000 could pave the way toward new all-time highs, but a decline below support might see a focus on the next major support level around $108,983. Overall, the combination of technical stability and positive sentiment suggests that, barring any sudden shocks, Bitcoin could continue its upward trajectory, provided on-chain fundamentals improve and the network activity starts to catch up with price movements.