Bitcoin price forecast: BTC Rebound reaches $120,000, Spot and futures volume suggest further pump.

Bitcoin (BTC) has ended its peak retracement trend, rebounding to $120,247 during the Asian morning session today (23rd), as the exchange's spot trading volume has risen and the surge in open interest (OI) indicates further increases.

(Source: CoinMarketCap)

Bitcoin spot and futures trading volume suggests further rise

According to a report from CryptoQuant on Tuesday, following last week's record high, the Bitcoin spot trading volume on centralized exchanges (CEX) surged.

The cryptocurrency exchange Binance's spot trading volume saw the largest increase, jumping from 3.1 billion USD to 8.8 billion USD during this round of rise. Meanwhile, the total trading volume of major platforms also climbed from 5 billion USD to 12.7 billion USD.

The large volume of Spot trading on major CEXs indicates that retail traders have played an important role in driving the rise of Bitcoin, especially in the context of declining trading volumes on other exchanges after BTC peaked around $123,000.

Research Director Julio Moreno wrote: "The trading volume of large CEXs remains high after reaching a historical peak, while the trading volume of other exchanges has declined."

Data from on-chain analytics company Glassnode shows that the growth in spot trading volume is attributed to a 7.3% surge in Bitcoin open interest (OI), reaching $45.4 billion and breaking through the statistical peak range of $41.5 billion. Financing payments have also surged alongside futures open interest, rising by 59.5% to $4.4 million, far exceeding the high range of $2 million, indicating that traders are paying a premium to maintain bullish bets.

The surge in spot and futures trading volume indicates a large influx of capital into the market, showing that as investors maintain a bullish sentiment, there is further potential for price increases.

The Realized Cap Change indicator for Bitcoin reflects this, as it rose from 4.5% to 5.8% within a week. This indicator has now surpassed its statistical upper limit, indicating a continuous increase in capital inflow, with active buying occurring when prices pump.

Historically, such levels often indicate a period of profit-taking, especially when market momentum starts to weaken. In the past few days, Bitcoin's pullback to $115,000 reflects this, showing that holders are beginning to take profits.

However, BTC rebounded near historical highs today, briefly touching 120,000 USD, indicating that investor interest has reignited.