Bitcoin continues its cautious trading below the $70,000 level, with analysts noting that the market has entered a defensive phase.
Bitcoin continues its cautious trading below the $70,000 level, with analysts noting that the market has structurally entered a defensive phase.
According to a recent report from on-chain analytics company Glassnode, the BTC price is fluctuating within a range that is absorbing selling pressure but struggling to generate new expansionary momentum.
Glassnode highlighted that Bitcoin is currently stuck between its “True Market Mean” of approximately $79,200 and its “Realized Price” of around $55,000. It noted that the price has repeatedly found support in the $60,000-$72,000 range, a pattern frequently observed in the first half of 2024.
However, according to the report, large supply clusters in the $82,000-$97,000 and $100,000-$117,000 ranges are creating strong resistance in the market. In these regions, it is considered likely that investors who have incurred losses will turn to selling during upward movements.
According to the report, at the time of broadcast, Bitcoin was trading at around $66,700 and Ethereum was below $2,000.
Another factor weakening the market outlook is the decline in institutional demand. It is noted that digital asset flows, including spot ETFs, corporate and government reserves, have synchronously turned into net outflows.
It is reported that US spot Bitcoin ETFs experienced outflows of $410 million in a single day, while the decline of premiums in perpetual futures to neutral levels indicates that leveraged investors are withdrawing.
In the options market, volatility remains high and demand for downside protection is strong. Aurelie Barthere from Nansen noted that there is more “hesitant bottom buying” in the options market than in spot buying, and said that unless a strong catalyst emerges, Bitcoin could remain in the $52,000-$70,000 range.
