Bitcoin Breaks Out of Consolidation Range at the Beginning of the Year, Institutional Funds Reflow as a Key Support

【Navigation Compass】In the first week of 026, Bitcoin broke free from the previous long-term consolidation around $87,000, reaching a high of $94,400, with a weekly increase of 8.5%. On-chain data shows that the 7-day average realized profit has decreased from over $1 billion daily in Q4 to $183.8 million, significantly easing profit-taking pressure. Meanwhile, the US spot Bitcoin ETF fund flows have resumed net inflows, open interest in the futures market has stopped declining and rebounded, and institutional participation is gradually increasing.

Personal opinion: This rally is not an isolated market movement but driven by a dual force of "profit-taking release + institutional reflow." However, caution is needed regarding resistance from the trapped positions in the $92,100 - $117,400 range above, which is likely to lead to a short-term consolidation phase. For ordinary investors, the short-term holding cost basis at $99,100 is a key point to watch; only by holding above this level can the trend be confirmed as strengthening. On the journey, avoid chasing highs; wait for a pullback near the $90,000 round number, consider trading based on volume changes, and set stop-loss and take-profit orders to avoid being caught in short-term volatility. #BTC