CMC News

Bitcoin Struggles as 6.7M $BTC Sits Underwater, Glassnode Reports

$BTC remains confined within a fragile price range as overhead supply between $93,000 and $120,000 continues to block recovery attempts, according to analytics firm Glassnode. The #cryptocurrency tested resistance near $93,000 before declining toward $85,600, highlighting persistent sell pressure from investors who bought at higher levels.

Approximately 6.7 million $BTC currently trades below its purchase price, marking the highest loss-bearing supply observed during this market cycle. The volume has remained between 6 million and 7 million tokens since mid-November, mirroring early transitional phases from prior cycles when mounting investor frustration preceded deeper declines.

#Long-term holders control 10.2% of the circulating supply currently underwater while short-term holders account for 13.5%. Loss-bearing supply accumulated by recent buyers gradually matures into the long-term cohort as time-based pressure builds, potentially triggering capitulation at lower price levels.

The True Market Mean near $81,300 has provided support despite sustained selling activity. Patient buyer demand at this threshold prevents a deeper #breakdown, though spot accumulation remains tactical rather than coordinated across major venues like Coinbase and Binance.

Supply attributed to investors who exit at a loss has climbed to roughly 360,000 $BTC. Any decline below the $81,300 support level #risks expanding this cohort further, adding incremental sell-side pressure to an already strained market structure.

Futures markets show declining open interest from cycle highs alongside relatively neutral funding rates. The data indicates ongoing position reduction rather than excessive leverage deployment, suggesting traders prioritize #balance sheet management over directional conviction in current conditions.