Analysis: $117,000 is the primary resistance level for BTC's rebound, with over 500,000 coins accumulated above

ChainCatcher news, on-chain data analyst Murphy stated that based on the BTC cost basis distribution (CBD) data, there is a dense chip accumulation area above the current price, with more than 500,000 coins and a cost basis around $117,300 to $119,100. The $117,000 level, previously the strongest support, has now turned into the biggest resistance for BTC's rebound. The accumulation of these chips roughly occurred between July 15 and July 22 of this year, and they have not been sold during BTC's pullback, remaining held until now.

The overall market sentiment remains cautious. Once these holders transition from unrealized losses to break-even, it will significantly impact the height of BTC's rebound. Combining the "MVRV extreme deviation pricing range," this round of market activity has been operating between the yellow and orange lines of the pricing range since it started in April this year, forming an upward trend channel. The current lower boundary of the channel has moved up to $117,500, while the upper boundary is at $128,700. If BTC can successfully break through the aforementioned resistance range and the subsequent pullback does not fall below it, it means BTC has returned to the upward trend channel from April to August, and the expected height of the rebound can be seen at the upper boundary of the channel. This analysis is for learning and communication purposes only and should not be considered investment advice.