Bitcoin ‘Sits at a Crossroads’ As Spot ETF Inflows Drop While Futures Traders Absorb Sell Pressure: Glassnode

Analysts at a prominent blockchain research firm say this one important factor is keeping Bitcoin (BTC) ranging in the $110,000 to $116,000 range.

According to a new Glassnode Insights update, Bitcoin Spot exchange-traded fund (ETF) inflows have recently declined, holding BTC back from reaching new heights.

“Since early August, US Spot ETF netflows have dropped sharply, now hovering near ±500 BTC per day. This is far below the inflow intensity that supported earlier rallies in the current cycle, underscoring a loss of momentum from TradFi investors.

Given the pivotal role ETFs have played in fueling upside, their slowdown adds fragility to the current structure.”

According to Glassnode, it is now up to the derivatives market to help keep up the flows.

“With on-chain liquidity softening and ETF demand fading, attention now shifts to derivatives markets, which often set the tone when spot flows weaken.

The Volume Delta Bias, measuring the deviation of cumulative volume delta from its 90-day median, recovered during the rebound from $108,000, signaling seller exhaustion across venues like Binance and Bybit. This suggests that futures traders helped absorb recent sell pressure.”

Ultimately, Glassnode analysts identify $114,000 as the price mark BTC needs to hold to keep its head above water.

“Looking forward, the ability to reclaim and hold above $114,000 will be critical in restoring confidence and drawing in fresh inflows. Failure to do so risks renewed stress for short-term holders, with $108,000 and ultimately $93,000 as key downside levels.

In short, Bitcoin sits at a crossroads, with derivatives support holding the structure together while broader demand must strengthen to fuel the next sustained rally.”

BTC is worth $115,640 at time of writing, up 1.5% on the day.

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