Cryptocurrency analytics company Glassnode made noteworthy assessments regarding the Bitcoin market in its latest report. According to the report, the price was strongly rejected from the “Real Market Average” and short-term investor cost floor levels, which are around $78,000–$79,000. This situation limits the upward momentum of the market and indicates that downward pressure may continue in the medium term.
Glassnode data reveals that short-term investors, in particular, are viewing the rally as a selling opportunity. Hourly profit-taking reaching up to $4 billion indicates a significant distribution process in the market, while buyers are struggling to withstand this selling pressure. This dynamic stands out as one of the key factors explaining why the recent rally has failed to sustain itself.
The report also highlights a strong accumulation zone between $65,000 and $70,000. While this zone is noted as providing significant short-term support, a potential downward break could weaken the market structure. Specifically, the standard deviation band around $68,000 stands out as a critical support level to watch.
On the other hand, there are also signals that selling pressure in the spot market is beginning to decrease. The fact that the volume delta is approaching neutral levels and occasionally turning positive indicates that buyers are starting to re-enter the market. However, Glassnode adds that for a sustained uptrend, this demand needs to increase more strongly.
On the institutional investor side, a more cautious recovery is observed. While there are signs of renewed growth in ETF asset sizes (AUM), CME open positions are also reportedly bottoming out. This indicates that while there has been a limited re-entry into the market, a strong sense of confidence has not yet been established.
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In derivatives markets, a striking picture emerges. Record-high net short positions in futures indicate an increased tendency among investors to hedge against risk. However, this excessive short positioning also carries the risk of a sharp “short squeeze” in the event of positive news flow or increased demand.
In terms of volatility, a general consolidation is noticeable. The fact that both realized and implied volatility are close to each other indicates that there is no strong expectation regarding the direction of the market. At the same time, the increased demand for hedging in the options market suggests that investors are maintaining a cautious stance.
According to the overall assessment in the Glassnode report, Bitcoin is stuck below critical resistance levels. While selling pressure continues in the upper regions, the support levels in the lower band are keeping the market balanced. The recovery in spot demand and institutional inflows have not yet reached a level that would create a strong breakout.
In this context, the current outlook suggests that a volatile and sideways market structure may continue in the short term. According to Glassnode, the next major price movement will depend more on whether real capital inflows strengthen or not, rather than on positioning in derivative markets.
*This is not investment advice.
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