The trading price of Bitcoin has remained close to $120,000, pulling back after it reached a historic high of $123,200 on Monday. However, many investors view this slight pullback as a healthy consolidation rather than a sign of market weakness. Currently, the long positions momentum remains strong, and the robustness of the technical structure suggests that the upward trend may continue in the short term.

According to on-chain data from CryptoQuant, this optimistic outlook is further supported. As of July 17, 2025, the net unrealized profit/loss (STH NUPL) indicator for short-term holders is 13%, slightly lower than the 16% during Bitcoin's last peak. This means that most short-term holders have made moderate profits and have not reached the extreme levels that typically indicate market euphoria or imminent overheating.

The stable price structure combined with healthy on-chain behavior indicates that the market continues to develop upward, rather than having reached its peak. With Ethereum and other tokens also strengthening, and overall market sentiment turning positive, Bitcoin seems ready to embrace the next significant price movement.

According to top analyst Axel Adler, Bitcoin still has significant room for rise before reaching speculative overheating. In past macro cycles, Adler noted that when the Short-Term Holders' Net Unrealized Profit/Loss (STH NUPL) indicator reaches 25%, it usually marks the peak of enthusiasm among short-term holders. At that stage, many investors begin to take profits on a large scale, which often leads to a weakening of market momentum or a broader pullback.

As of July 17, 2025, the STH NUPL is 13%, indicating that the unrealized profits of short-term holders remain at a medium level. According to current dynamics, Adler estimates that for this group’s unrealized profits to reach 25%, Bitcoin needs to break through $137,000. This price level now represents a potential large-scale sell-off trigger point, which is a psychological and on-chain threshold that could lead to increased volatility or a pause in the cycle.

Prior to this, data indicated that there could be continued optimism for a price pump without immediate profit-taking pressure. All of this is happening at a critical moment when the U.S. Congress is discussing three major cryptocurrency bills. After vetoing these proposals in the past two days, the upcoming meetings may alleviate or continue to bring uncertainty to the regulatory environment.

The 12-hour chart shows that Bitcoin has been consolidating below $120,000 after reaching a new high of $123,200. Despite a brief pullback, BTC remains in a robust bull market structure, well above all key moving averages: the 50 SMA is at $110,602, the 100 SMA is at $108,105, and the 200 SMA is at $102,178. These levels now act as dynamic support zones, indicating the strength of the current trend.

It is worth noting that the trading volume has significantly increased in the recent trading days, accompanied by new highs and subsequent pullbacks, resulting in consecutive high-volume candlesticks. This surge in volume indicates increased market activity and may reflect new inflows from traders taking profits and pursuing further rises.

Currently, this integration looks very healthy. As long as Bitcoin stays above the short-term moving average and $109,300, the market structure continues to support long positions. If it can reclaim $120,000, it may initiate a price attempt towards new highs, targeting the $130,000 to $137,000 range.