Bitcoin Balance Signals: Selling Pressure is Decreasing

The Bitcoin (BTC) market has entered a balancing process recently, with reduced selling pressure and improving profit margins. According to Glassnode data, low trading volumes and limited participation indicate that investors are behaving cautiously. Last week, some recoveries were observed in Bitcoin prices following a previous decline.

According to Glassnode's Market Pulse report, signals of balancing in technical indicators are becoming increasingly strong. While investor behavior is still developing cautiously, the rapid recovery of the RSI index from the oversold zone is noteworthy. During the same period, the increase in buying interest in both spot and perpetual trading data suggests that investors' approaches to the market are experiencing a positive shift.

However, the fact that total trading volumes are still at low levels reveals a lack of broad participation in the market. The decline in leverage ratios in derivative markets and the positive trend in funding rates indicate an increase in demand for long positions. Additionally, the rise in open positions in the options market and the decrease in volatility reflect that investors have shifted to a calmer expectation in the short term.

On the ETF side, the recent positive inflows following previous outflows show that total trading volumes are still being selectively evaluated by institutions. On-chain data shows a mixed trend; while a decrease in active address counts, transfer volumes, and transaction fees has been observed, profitability indicators are signaling recoveries. The increase in MVRV ratio and the realization of profit/loss ratio rising above 1 indicate that investors are once again realizing profits, and the market tone is changing positively.

In conclusion, the Bitcoin market is in a process of rebalancing. It is observed that selling pressure has eased, leverage ratios have declined, and investor confidence is slowly recovering. However, as long as demand does not expand, it is likely that the Bitcoin price will move sideways within a certain range.