Bitcoin Hits $94K All-Time High as Key Metrics Signal Possible Market Top

Amid a new peak value for Bitcoin, CryptoQuant cites metrics like the Fear & Greed Index, money flow, and UTXO profits to suggest a potential market peak.

Bitcoin, the world’s largest crypto, recently hit a new all-time high, trading over $94,000 before slightly easing to $92,000. The bullish momentum persisted, pushing prices up another 1.5% in the latest session to surpass $93,000.

With this surge, on-chain analytics provider CryptoQuant has raised questions about whether it is time to sell or hold. Analysts at CryptoQuant have closely monitored several key metrics to better understand the potential direction of the market.

Fear & Greed Index Signals Caution

One of the key indicators under review is the Crypto Fear & Greed Index, which is widely used to gauge market sentiment. The index, currently above 80, reflects heightened greed among investors. 

Historically, such levels have often preceded market tops, suggesting the need for caution. While the market can sustain upward momentum during periods of extreme greed, the likelihood of a reversal increases as the index remains elevated.

New Money Flow & Long-term Holding Behaviour

Another critical factor affecting Bitcoin’s price sustainability is the flow of new capital into the market. CryptoQuant pointed out that insufficient new money inflow could increase selling pressure. 

Realized Cap Growth over a 365-day period is being monitored as a tool to track this trend. Without sufficient inflows, sustaining the current rally could prove challenging, potentially marking a near-term peak.

Further, long-term holders’ behavior is another crucial metric drawing attention. CryptoQuant observed that market tops often coincide with the activation of dormant Bitcoin. Coin Days Destroyed, a measure of long-held Bitcoin being moved, has reached levels exceeding 15–20 million, which historically aligns with market tops.

Bitcoin Exchange Flows & UTXOs

Additionally, exchange flow data provides further insights. The Inter-Exchange Flow Pulse (IFP) tracks Bitcoin movement between spot and derivative exchanges. Recent data indicates bearish signals as Bitcoin flows shift toward derivative platforms, often a precursor to downward price adjustments. 

Previously, CryptoQuant’s CEO pointed out the heightened euphoria driving the current rally. With 99.3% of Bitcoin’s Unspent Transaction Outputs (UTXOs) in profit, the market is in an extremely bullish phase. While such phases have historically lasted three to twelve months, analysts are urging caution due to the possibility of sudden reversals.