Bitcoin Momentum Slows! Leverage Risks Mount as Market Eyes Key Support at $110,000

On-Chain Analysis Company Glassnode Reports

On-chain analysis company Glassnode noted in its latest report that although nearly $900 million flowed into U.S. spot Bitcoin ETFs last week, the momentum in the spot market continues to weaken. The crowded leverage positions, combined with increased profit-taking pressure, suggest that there remains a risk of further deleveraging in the market. On Monday, there was a net outflow of $121 million from U.S. spot Bitcoin ETFs, with the largest product, IBIT, experiencing its first capital outflow since August 5.

Glassnode believes that as profit-taking sentiment rises, whether Bitcoin can rebound from its decline will depend on the sustainability of ETF fund flows and the willingness of new buyers to enter the spot and futures markets.

Market Insights from Material Indicators’ Co-founder

Keith Alan, co-founder of Material Indicators, pointed out that despite the evident bearish pressure, bulls are still attempting to stabilize the situation, with the $107,000 to $110,000 range gradually becoming the focus. He also emphasized that the 100-day moving average at $110,950 may serve as support, while the 50-day moving average at $115,875 is a crucial level that bulls must reclaim.

Market Report from Enflux

Meanwhile, Singapore-based market maker Enflux reported to CoinDesk that the current market malaise is merely a “misalignment” between short-term prices and industry structure. Enflux emphasized that investors are overlooking more long-term significant news:

• Google becomes the largest shareholder of mining company TeraWulf
• Wyoming launches state government-supported stablecoin
• Tether hires former White House crypto policy officials

These events represent a rapid influx of capital and talent toward a compliant and institutionalized future, indicating that the pace of industry maturation is outstripping price reflection.