Bitcoin Selling Pressure Eases as Short-Term Holder Profits Fall
Bitcoin selling pressure from short-term holders has eased, according to Glassnode, as the share of their BTC holdings in profit fell to about 70% from nearly 100% in late September. The decline leaves fewer recent buyers with large unrealized gains to sell, which Glassnode says may offer a better entry point for investors expecting the uptrend to continue. It does not guarantee a recovery.
Realized Bitcoin profit-taking had fallen to roughly half its level at the September high by October 21. Still, price conditions remain fragile: Bitcoin slipped below $80,000 on October 26, while Glassnode identified resistance around $85,000–$87,500 and buying interest near $80,000–$81,500.
US spot Bitcoin ETFs recorded $773.5 million in combined outflows on October 22 and 23, although they ended the five-session period with about $301.2 million in net inflows. Traders are also watching the Federal Reserve’s October 28 rate decision, followed by US inflation data on October 29 and a major Bitcoin options expiry on October 30. These events could drive volatility as Bitcoin attempts to stabilize.
Neutral
The signal is mixed, so the overall impact is neutral. Falling short-term holder profitability and reduced realized profit-taking can ease a source of near-term sell pressure. In past Bitcoin pullbacks, a lower share of recent buyers in profit has sometimes preceded stabilization because fewer holders have gains to lock in. However, this on-chain measure is not a reliable price-floor signal and does not establish that demand is returning.
Other indicators remain cautious. Bitcoin has traded below $80,000, faces substantial resistance around $85,000–$87,500, and spot Bitcoin ETFs saw $773.5 million in outflows over two sessions. The five-session net inflow offers some counterbalance, but institutional demand appears uneven. The Fed decision, inflation data and options expiry could further shape positioning and volatility in the near term.
For traders, easing profit-taking may reduce immediate overhead supply, but price recovery would likely require Bitcoin to reclaim resistance with stronger spot and ETF demand. If support near $80,000 fails, leveraged liquidations or renewed outflows could intensify losses. Over the longer term, the profitability trend is useful for assessing holder behavior, but macroeconomic conditions and sustained capital flows are more decisive for confirming a durable uptrend.