Bitcoin Nears $85,000 as On-Chain Money Carries the Rally
Glassnode sees cooling leverage and strong on-chain inflows, while spot demand and ETF inflows are supporting the price around the $85,000 support level.
Key Takeaways
- Bitcoin is moving around the $85,000 to $85,500 sell wall, which has to be absorbed first before the price can keep rising.
- Glassnode calls $96,700 the next major resistance, while leverage cools and the futures market stays muted.
- New buyers remain active through spot and on-chain activity, but ETF inflows have slowed and nearly three-quarters of the supply is in profit.
Bitcoin is trading around the $85,000 (€75,900) sell wall as leverage cools and new on-chain money flows in, Glassnode reports. According to the data company, that could open the door to $96,700 (€86,300), although profit-taking is still clearly present.
Sell Wall Around $85,000 (€75,900)
In its latest report, Glassnode pointed to a cluster of sell orders between $85,000 (€75,900) and $85,500 (€76,300). That kind of sell wall has to be absorbed first before the price can move higher.
A week earlier, Glassnode already named $96,700 (€86,300) as the next major resistance, based on the average Market Value to Realized Value, or MVRV price. That metric compares Bitcoin's market value with the value of coins at the price where they last moved.
Sunday's October 4 price jump pushed the weekly close about 2% above the previous week. In Monday's update, Bitcoin was still trading above that area.
Leverage Cools Off
The derivatives market seems to be calming down for now. Open interest in futures pulled back into its usual range, near the upper end, while open interest in options fell after the quarterly expiration.
Perpetual futures, contracts with no expiration date, also saw less selling pressure after the dip a week earlier. Glassnode still describes the futures market as moderate and rising, which suggests leverage has cooled but not disappeared.
New Buyers Stay Active
On the buying side, spot takers, traders who buy directly at the market price, stood out by ending the week as net buyers. At the same time, ETF demand stayed positive, but much smaller than the week before. That fits the picture of ETF inflows slowing from nearly $1 billion (€0.9 billion) to $134 million (€120 million), while trading volumes stayed low.
On the other hand, on-chain activity picked up. Active addresses, fees, and transfer volume all moved above their high band. Realized cap, which values each coin at the price where it last moved, also showed a monthly increase that was well above the band.
Why This Matters for Europe
For European crypto followers, the key point is that Bitcoin is leaning less on leveraged trading here and more on real market demand. That makes the move around $85,000 (€75,900) broader than just a short futures rally. The mix of cooling ETF inflows and stronger on-chain activity also shows where the current buying interest is coming from.
Glassnode also sees nearly three-quarters of the supply in profit. That raises the chance that recent buyers will take profits if prices keep climbing, especially if Bitcoin moves back toward $96,700 (€86,300). Earlier, the combination of a large sell wall and weakening demand already showed how quickly momentum can shift in October.
