Key Moments
- Glassnode highlighted a structural BTC range, with accumulation support around $62,000-$65,000 and concentrated Long-Term Holder supply between $83,000-$86,000.
- The share of Bitcoin supply in profit rose from 65% in May to 68% in late August when prices revisited the $78,000 area.
- Roughly $14 billion in open interest is tied to the September 25 options expiry across Deribit and IBIT, with significant exposure at strikes above $80,000.
Spot Market Stalls Between Key Liquidity Zones
Bitcoin’s (BTC) latest rebound is running into mounting resistance as price action stabilizes between a prominent accumulation area below the market and a dense band of potential selling pressure above, according to a Glassnode report released Wednesday.
After briefly trading above $80,000 on August 27, BTC met steady selling flows and pulled back toward $76,000. That reversal triggered a wave of long liquidations and left the market lodged between two prominent pockets of liquidity.
Glassnode reported that the advance cleared out a portion of short exposure as BTC moved higher, but the price failed to reach a concentrated cluster of short liquidations positioned between $83,000 and $86,000. On the downside, the firm highlighted a substantial pool of long liquidation liquidity sitting between $60,000 and $63,000.
“Identical nominal prices now activate a larger volume of profitable coins, creating an expanded pool of latent sell-side liquidity when spot tests prior highs,” Glassnode wrote.
Onchain Positioning: Accumulation Band vs LTH Supply
Onchain supply distribution underscores the current trading range. Glassnode identified an accumulation base between $62,000 and $65,000, built during the summer consolidation phase. Above spot, a heavy concentration of Long-Term Holder (LTH) supply resides between $83,000 and $86,000.
Profitability dynamics are adding another layer of difficulty for the recovery. When BTC traded near $78,000 in May, Glassnode estimated that about 65% of circulating supply was in profit. When the market revisited the same price area in late August, that figure had risen to 68%.
“This shift reflects summer accumulation that reset the Short-Term Holder Cost Basis near $71K,” Glassnode stated.
Profitability and Key Ranges Overview
| Metric / Zone | Level / Range | Context |
|---|---|---|
| Accumulation support | $62,000 – $65,000 | Onchain accumulation floor from summer consolidation |
| Long liquidation liquidity | $60,000 – $63,000 | Substantial band of downside liquidation liquidity |
| LTH supply concentration | $83,000 – $86,000 | Overhead supply and dense short liquidation cluster |
| Profitable supply in May near $78,000 | 65% | Share of circulating BTC held in profit |
| Profitable supply in late August near $78,000 | 68% | Increased potential sell-side liquidity versus May |
| Short-Term Holder Cost Basis | Near $71,000 | Reset following summer accumulation |
Derivatives Sentiment Cools After Short Squeeze
In options markets, short-term enthusiasm has eased following the latest rally. Glassnode observed that the seven-day 25-delta skew index spiked during the squeeze as traders sought upside call exposure, but the indicator then drifted back toward neutral once BTC met resistance.
This rapid reversal in skew suggests that near-term optimism has moderated after Bitcoin failed to hold levels above $80,000.
By contrast, longer-dated risk positioning appeared relatively unchanged. The 180-day skew showed limited reaction during both the advance and subsequent pullback, which Glassnode interpreted as evidence that demand for longer-term optionality has held up even as short-term sentiment cooled.
September Options Expiry Looms Over Market Structure
Derivatives traders are now turning their focus to the September 25 quarter-end options expiry. Glassnode noted that this expiry carries approximately $14 billion in open interest across Deribit and IBIT.
A significant portion of that open interest is clustered at strike prices above $80,000. As a result, the approaching expiry may become a notable driver of volatility and positioning adjustments in the weeks ahead.
At the time of writing, BTC is trading at $77,060, down 0.2% over the past 24 hours.
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