Bitcoin (CRYPTO: BTC) is exhibiting signs of seller exhaustion, according to new analysis from blockchain intelligence firm Glassnode, even as overall market structure remains vulnerable.

What Happened: The report paints a picture of a recalibrating crypto market that has retreated from recent highs, yet shows early signals of potential recovery.

After testing the lower bounds of liquidity near the $114,000 threshold, Bitcoin’s euphoric momentum has sharply cooled.

Across spot, derivatives, and on-chain markets, indicators suggest declining risk appetite, thinning volumes, and rising demand for hedging, common hallmarks of markets nearing a local bottom.

In the spot market, Bitcoin’s RSI dropped from 47.4 to 35.8, entering oversold territory.

Net cumulative volume delta (CVD) worsened from -$107.1 million to -$220 million, reflecting an uptick in sell-side activity.

Trading volume dropped from $8.4 billion to $7.5 billion, underscoring lower retail and institutional participation.

The futures market echoed these signs of cooling momentum.

Open interest fell modestly from $45.6 billion to $44.9 billion, while long-side funding rates dipped 33% to $3.1 million.

Perpetual CVD deepened from -$1.2 billion to …

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