Bitcoin Steadies Above $114K as Whales Absorb Selling Pressure and Shorts Unwind
Bitcoin (BTC) is holding firm above the $114,000 level after a week of mixed on-chain signals — with long-term holders trimming exposure, whales stepping in to absorb supply, and leveraged traders rebalancing positions across derivatives markets.
Long-Term Supply Eases for the First Time This Cycle
Data from Glassnode show around 62,000 BTC—roughly 0.4% of the total illiquid supply—have moved out of long-term storage since mid-October, marking the first meaningful decline in dormant balances this cycle.
The shift suggests some long-held coins are returning to liquid markets, softening one of Bitcoin’s strongest structural tailwinds this year.
However, whales—large holders controlling significant BTC balances—have quietly offset that outflow. These entities have added to their positions over the past month and have shown no notable selling activity since October 15, Glassnode data indicate.
Meanwhile, smaller holders in the 0.1–10 BTC range (approximately $10,000–$1 million) have continued light profit-taking since late 2024, signaling a redistribution phase as short-term traders lock in gains and long-term whales consolidate ownership.
Derivatives Markets Show Balanced Leverage
Leverage across futures remains stable. According to Hyperliquid, open interest stands near $4.1 billion, evenly split between longs and shorts with a minor lean toward bearish positioning.
Over the past 24 hours, CoinGlass recorded roughly $413 million in total liquidations — including $337 million from short positions. The cleanup helped stabilize price action but stopped short of triggering a full short squeeze or panic reversal.
A Controlled Recovery Phase
Bitcoin’s rebound from $110,000 to $114,900 has been orderly and measured, driven by spot accumulation and mild short covering rather than speculative momentum.
With illiquid supply declining, whale demand steady, and derivatives leverage neutral, market conditions remain balanced. BTC is likely to trade between $113,000 and $116,000 until a fresh macro or regulatory catalyst breaks the range.
With expectations already set for a dovish Federal Reserve, traders are now watching for what might spark Bitcoin’s next decisive move.
Market Wrap
Bitcoin (BTC): Rose from $110K to $114.9K, supported by whale buying and moderate short unwinding — signaling a stable reset rather than a new rally.
Ether (ETH): Jumped 6% to $4,186, outperforming BTC as traders rotated into higher-beta assets. Data suggest the rise remains momentum-driven, not backed by new inflows.
Gold: JPMorgan projects gold at $5,055/oz by 2026 and $6,000 by 2028, viewing recent weakness as consolidation amid expectations of rate cuts, stagflation risks, and central bank demand.
Nikkei 225: The Nikkei 225 surged past 50,000 for the first time, lifted by optimism over U.S.–China trade discussions and domestic growth expectations under Prime Minister Sanae Takaichi.
