Woofun AI reports that Bitcoin has transitioned into the early stage of a new bull market, a shift identified by on-chain analyst Julio Moreno through proprietary metrics indicating most indicators now support a renewed upcycle.

Structurally, the confirmation of this bull market remains contingent upon Bitcoin breaking above its 365-day moving average, currently positioned at $83,000. This technical threshold serves as the definitive marker for officially confirming the bull market, distinguishing a sustained trend from a preliminary phase.

A more critical variable is the presence of high unrealized profits among holders, which creates latent selling pressure.

Notably, a sharp increase in exchange inflows has been observed, signaling a potential supply overhang that could exacerbate downward moves if profit-taking accelerates.

Per Woofun AI, the interplay between institutional interest and profit-taking risks suggests that while the broader trend is positive, the market remains vulnerable to sharp corrections. Historically, Bitcoin has experienced significant volatility even within bull cycles, making on-chain metrics essential for assessing the sustainability of current price action against underlying fundamentals.

For everyday investors, navigating short-term fluctuations requires recognizing the broader upward trend while maintaining prudence around the $83,000 moving average. Although the outlook is highly positive, the path forward demands caution given the inherent risks associated with these key resistance levels.