On February 5, 2025, Glassnode released data on their Cost Basis Distribution (CBD) metric, providing insights into how Bitcoin investors have reacted to recent market conditions. According to the analysis, Bitcoin found significant support at approximately $97,500 due to the accumulation of nearly 200,000 BTC above this price level over the last month (Glassnode, 2025). This accumulation period spanned from January 5 to February 5, 2025, with the price of Bitcoin dipping to $97,500 on January 15 and January 30, 2025, before rebounding (CoinMarketCap, 2025). The trading volume during these dips averaged 25,000 BTC per day, indicating strong buying interest at this support level (CryptoQuant, 2025). Additionally, the Bitcoin dominance index, which measures Bitcoin's market share relative to other cryptocurrencies, remained stable at around 45% during this period, suggesting a balanced market sentiment (TradingView, 2025).

The trading implications of this support level are significant for traders. The accumulation of 200,000 BTC above $97,500 signals a strong investor confidence in Bitcoin's long-term value. This is further corroborated by the fact that the average holding period of these accumulated BTC was over 30 days, indicating a long-term investment strategy rather than short-term speculation (Blockchain.com, 2025). The trading volume surge during the price dips on January 15 and January 30, 2025, suggests that many traders viewed these dips as buying opportunities, reinforcing the support level. Furthermore, the Bitcoin to USDT trading pair on Binance showed a 10% increase in trading volume during these dips, reaching 150,000 BTC traded on January 15, 2025 (Binance, 2025). This indicates a high level of liquidity and interest in Bitcoin at this price level. Additionally, the BTC/ETH trading pair on Kraken saw a 5% increase in volume during the same period, with 10,000 BTC exchanged on January 30, 2025 (Kraken, 2025).

From a technical analysis perspective, the Relative Strength Index (RSI) for Bitcoin remained in the oversold territory (below 30) during the dips on January 15 and January 30, 2025, suggesting that the market was due for a rebound (TradingView, 2025). The Moving Average Convergence Divergence (MACD) indicator also showed a bullish crossover on February 1, 2025, further supporting the upward momentum (Coinigy, 2025). The on-chain metrics during this period were also positive, with the number of active addresses increasing by 10% from January 15 to February 5, 2025, reaching 1.2 million active addresses (Glassnode, 2025). The average transaction value remained stable at around 1.5 BTC, indicating continued market activity and confidence (Blockchain.com, 2025). The total trading volume across all exchanges for Bitcoin was 1.5 million BTC on February 5, 2025, a 20% increase from the previous month's average (CoinMarketCap, 2025).

In terms of AI-related news, there have been no direct developments reported on February 5, 2025, that could influence the crypto market directly. However, the general sentiment around AI and its potential applications in blockchain technology remains positive. A recent report from AI Research Institute on February 1, 2025, highlighted the growing interest in AI-driven trading algorithms, which could potentially increase trading volumes in AI-related tokens like SingularityNET (AGIX) and Fetch.AI (FET) (AI Research Institute, 2025). Although there is no direct correlation observed between the Bitcoin support level and AI news, the broader market sentiment towards AI could influence investor behavior in the crypto market. For instance, if AI-driven trading volumes increase, it might lead to higher liquidity in AI-related tokens, indirectly impacting the overall crypto market sentiment. On February 5, 2025, the trading volume for AGIX increased by 15% to 5 million tokens, while FET saw a 10% increase to 3 million tokens, indicating potential AI-driven trading activity (CoinMarketCap, 2025).