Bitcoin (BTC) is experiencing a notable Bitcoin price correction, retreating to the key $107,000 level this week. This move comes after the cryptocurrency briefly surpassed $111,000 the previous day. Analysts from the on-chain data platform Glassnode identify the current price range as a crucial inflection point for the bullish trend.
On-chain data offers a detailed view of the situation. Glassnode, in a recent analysis, highlighted its “Cost Basis Distribution Quantile Model.” This model analyzes the acquisition costs of investors. Currently, the price is hovering near the 0.85 quantile boundary, a key support. A sustained break below this line is interpreted as an expanded risk of a medium-term correction.
This $107,000 level acts as a fundamental pivot. The Glassnode platform warned that if buyers can hold this zone, bullish momentum can rebuild. However, if this support is lost, the market will likely revisit lower territory. The situation reflects a delicate balance in the asset’s economy. This on-chain analysis provides a more precise perspective than traditional technical indicators by using actual blockchain data.
Sentiment in the derivatives markets also shows signs of caution. Data from Binance, the largest derivatives platform, indicates a slight dominance of selling pressure. Analyst Arab Chain, from CryptoQuant, noted that Bitcoin futures trading volume increased in October. However, sellers dominated most of ahe sessions.
Does the Derivatives Market Reflect Imminent Weakness?
The balance in the Binance futures market is tilted slightly toward the sell-side. The long/short ratio currently sits at 0.955, which reflects a fragile balance between buyers and sellers. This metric suggests a deceleration of the positive momentum previously seen.
Analyst Arab Chain concluded that current data slightly favors selling pressure. If this derivatives trend continues, it could pave the way for further corrections. This would happen unless the market shows renewed buying activity. Institutional demand will be key in the coming days. Investors are watching this inflection point to determine if the bullish trend will hold or if the Bitcoin price correction will deepen.
