On-chain data is sending an interesting signal: institutional investors have just finished a period of net selling and are now turning into active buyers of Bitcoin.

How important is this shift? Looking at historical data, we can see that the last time a similar institutional buy signal appeared, BTC immediately rose by 41%. Even more impressively, the average increase for such signals in history has reached 109%. Therefore, every move by institutions is indeed worth paying attention to.

Recently, the situation is as follows: after a period of consolidation in December, these large funds have begun quietly increasing their positions. The actions of financial firms and Bitcoin treasury funds are particularly noticeable, with the 30-day buy-sell ratio turning positive. The market response has been swift—Bitcoin's price has already rebounded to $93,800, with a very clear upward momentum.

What might happen next? If institutions continue to add to their positions, Bitcoin could indeed usher in a new wave of upward movement. But honestly, the market still has volatility, and history shows that some signals can also trigger short-term declines. So, it's important to recognize the signals that institutions are optimistic about, while also being prepared for possible pullbacks. In short, paying attention to on-chain data and institutional movements is key to understanding the market rhythm.