Bitcoin has reached a new milestone with the realised capitalization exceeding the $1 trillion mark for the first time, according to on-chain analytics company GlassNode.
Surge comes just days after BTC spot prices hit a fresh high of over $123,000, highlighting the strength of recent investor demand.
Unlike traditional market capitalization, realized CAP measures the value of Bitcoin based on the price each coin last moved in a chain. This approach provides a clearer image of the actual capital stored in the network and is widely regarded as a more accurate indicator of investor convictions.
James Check, on-chain analyst at CheckonChain, highlighted the importance of this metric by describing it as the “most important Bitcoin market metric.”
He explained:
“(Metric) I value every coin at the price when I last traded. If I dca’ 0.1 btc at a price of $10,000, I’ll save 0.1x $10,000 = $1,000, regardless of the spot price. With Bitcoin.”
Meanwhile, GlassNode revealed that 25% of Bitcoin’s realization cap has been added this year. According to the company, this reflects accelerated flow of capital to assets amid a broader macro and institutional interest.
Bitcoin prices face resistance
Following this milestone, market analysts warn that BTC must overcome key resistance levels at $123,370 before targeting new highs.
Joao Wedson, CEO of Blockchain Analytical Firm Alphractal, warned that BTC’s recent rejection at this second “alpha price” level is a short-term red flag.
Alpha Price is a dynamic on-chain model that blends realised prices, historical average caps, and other factors to support resistance and support zones.
Wedson said:
“(Alpha Price) behaves like a pressure zone. Low levels tend to act as strong support, but the upper levels often show an increase in sales pressure, especially when most wallets are profiting. These thresholds reflect changes in investor sentiment and can define where buyers and sellers are likely to respond.”
However, if BTC prices overcome resistance at $123,370, Alfractal forecasts its next major target between $143,000 and $146,000.
Still, the risks of the overheating derivatives market lie on the horizon.
According to Alphractal, traders betting on long positions or further price increases have been dominated in recent months.
This reflects bullish feelings, but also increases the risk of a sudden “long squeeze.” This is a situation where price drops could be excessively reduced and amplify downward pressure on the market.