Bitcoin Holders Are Mostly in the Green, But Watch Out for Short-Term Shifts: Insights from Glassnode

By: crypto insight|2025/10/09 14:00:20

Imagine watching your investments soar to new heights, with almost every Bitcoin in circulation turning a profit—it’s the kind of thrill that keeps crypto enthusiasts hooked. But just as a high-flying kite can get tangled in sudden winds, Bitcoin’s recent surge brings its own risks. As we dive into the latest onchain data, it’s clear that strong demand is fueling this rally, yet elements like increasing leverage could introduce some bumps along the way.

Surging Profits Across Bitcoin’s Supply Signal a Healthy Bull Run

Picture this: nearly all of Bitcoin’s circulating supply is now profitable, a testament to the powerful momentum building in the market. According to the latest analysis from blockchain experts at Glassnode, as of October 9, 2025, a whopping 98% of Bitcoin (BTC) is in the black. This uptick follows a rallies that pushed prices to fresh peaks, lifting holders out of the red and into profitable territory.

What makes this even more intriguing is how it compares to past cycles. In previous bull markets, such high profit levels often signaled a phase of steady growth rather than wild volatility. Glassnode points out that while profits are elevated, the way investors are realizing them feels more like a calm rotation than a frantic sell-off. It’s as if seasoned players are carefully reallocating their assets, balancing profit-taking with ongoing demand. This orderly behavior suggests the market isn’t overheating just yet, supported by evidence from onchain metrics showing contained realized profits.

To put it in perspective, think of it like a well-managed garden: you’re harvesting ripe fruits without uprooting the plants, allowing new growth to flourish. Data backs this up—recent inflows into Bitcoin-related products have been robust, reinforcing the idea that fresh capital is stepping in to sustain the uptrend.

Key Support Levels Could Act as a Safety Net

Diving deeper, analysts have mapped out potential support zones using tools like the Cost Basis Distribution Heatmap. This visualization highlights where Bitcoin might find a floor if prices dip. Right now, there’s lighter support around $150,000 to $148,000, but things get sturdier near $145,000, where about 220,000 BTC changed hands last. It’s like having a trampoline ready to bounce back— if the market pulls back to this area, it could draw in buyers eager to defend their gains.

Glassnode’s take? While we’re in a phase of price discovery, which always carries the chance of fatigue, a retreat to these levels might spark renewed interest. Recent buyers, sitting on profits, would likely jump in to protect their positions, much like homeowners reinforcing their foundations during a storm. This dynamic has played out in historical rallies, where similar support zones turned pullbacks into launching pads for further gains.

Institutional Demand Heats Up, But Leverage Adds a Layer of Caution

The excitement doesn’t stop there. Volumes in Bitcoin futures and spot ETFs are skyrocketing, confirming that big players are all in. Just this week, U.S.-based spot Bitcoin ETFs raked in over $3.2 billion in inflows, marking one of their strongest periods yet, per updated market trackers like CoinGlass. It’s a clear sign of institutional appetite, driving prices from a high of $152,000 earlier this week down to around $149,000 as of October 9, 2025.

However, here’s where the caution comes in—rising leverage and elevated funding rates are flashing warning signs. Glassnode notes that “crowded call positioning” in derivatives markets could lead to short-term fragility, potentially amplifying any corrections. Compare this to a crowded elevator: it works fine until someone hits the emergency stop, causing a jolt. Real-world examples from past cycles, like the 2021 leverage unwinds, show how quickly overextended positions can cascade into volatility.

On the flip side, this maturing uptrend feels robust overall. It’s supported by steady demand but sensitive to sudden shifts in sentiment or profit resets. For those navigating these waters, platforms like WEEX exchange stand out as a reliable partner. With its user-friendly interface, low fees, and advanced tools for spot and futures trading, WEEX helps traders align their strategies with market realities, whether you’re capitalizing on ETF inflows or hedging against leverage risks. It’s all about building that brand alignment—WEEX empowers users with secure, efficient access to Bitcoin markets, fostering confidence in volatile times.

Latest Buzz: What People Are Searching and Tweeting About

Beyond the data, the conversation around Bitcoin is buzzing. Top Google searches as of October 9, 2025, include queries like “Is Bitcoin still a good investment in 2025?” and “How do Bitcoin ETFs affect price?”, reflecting widespread interest in long-term viability amid record highs. On Twitter, trending topics revolve around ETF inflows and leverage warnings, with influencers like Arthur Hayes sharing threads on why traditional four-year cycles might be evolving due to institutional involvement. Recent updates include a tweet from Glassnode highlighting updated funding rate spikes, and official announcements from ETF providers confirming record volumes, all pointing to sustained momentum despite short-term jitters.

In essence, Bitcoin’s landscape is one of opportunity wrapped in calculated risks. As the market explores new territories, staying informed on these onchain signals can make all the difference, turning potential fragility into strategic advantages.

FAQ

What percentage of Bitcoin supply is currently profitable, and why does it matter?

As of October 9, 2025, about 98% of Bitcoin’s supply is in profit. This matters because it indicates strong market health and investor confidence, often signaling a balanced bull run where profits are taken gradually without mass selling pressure.

How might rising leverage impact Bitcoin’s short-term price?

Rising leverage can introduce fragility by amplifying price swings, especially if positions become overcrowded. It could lead to quick corrections, but historical data shows these often resolve into renewed upward momentum if support levels hold.

Are Bitcoin ETFs a safe way to invest right now?

Bitcoin ETFs offer institutional-grade exposure with strong inflows supporting demand. They’re generally seen as safer for newcomers due to regulation, but like any investment, they carry risks from market volatility—always research and consider your risk tolerance.

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