Bitcoin (BTC) Price News: Rally Cools as Traders Hedge the Heat
Bitcoin's rally is slowing as long-term holders sell into strength and capital rotates from spot markets to derivatives for hedging.Summary
Bitcoin's upward momentum has slowed after reaching a record high, with BTC trading above $111,000 but struggling below key cost-basis levels like $113,000, according to Glassnode analysis suggesting market exhaustion.
Long-term holders are selling over 22,000 BTC daily, eroding confidence, while capital is rotating from spot markets and ETFs into derivatives, where volatility is the primary traded asset. CryptoQuant notes rising exchange reserves, indicating traders are preparing to sell into volatility rather than accumulate.
This shift to derivatives, evidenced by high open interest and rising put demand, suggests traders are hedging risks rather than betting on further upside. Analysts view this as capital consolidation within crypto, awaiting clearer macro signals, implying that a meaningful recovery requires renewed spot demand.
(Source：CoinDesk)