Bitcoin's profit supply has been steadily increasing despite recent challenges and ongoing market obstacles. More than 85% of BTC's circulating supply is currently in profit, signaling positivity historically but also indicating the start of exuberant phases in market cycles.

Analysts warn of a potential pullback even as BTC enters a bullish territory with strong investor confidence and significant capital flowing into the asset. The rise in the supply in profit typically fuels bullish trends, although breaching the 90% mark can trigger euphoric phases followed by corrections.

While BTC's funding rate is at 0%, suggesting a balanced market sentiment with no dominance of long or short positions, investors are awaiting a catalyst for clearer market direction. This combined with a rising profit supply could lead to heightened price volatility in the near future.

Currently, Bitcoin is trading at $95,125, just below a resistance level of $95,971. Despite market fluctuations, BTC demand remains high among spot market participants as indicated by an RSI of 68.21. The RSI suggests potential room for further price growth before the coin becomes overbought. A strengthening demand could see BTC breaking above resistance and rallying to $98,983, while increased bearish sentiment might result in a downtrend towards $91,851.