Glassnode: BTC momentum weakening on slower spot demand, ETF inflows

According to a report from Glassnode, Bitcoin's (BTC) upward momentum is weakening due to slowing spot demand, reduced ETF inflows, and an excessive accumulation of long positions, even as its market structure remains sound. The firm noted that while BTC has maintained a relatively stable price above key support levels and institutional participation in the futures market is recovering, spot demand, particularly from U.S. institutions, has not yet fully rebounded. The pace of ETF inflows has also decelerated. Glassnode added that sentiment in the options and volatility markets is becoming more conservative at current price levels. The market is currently driven more by derivatives trading than by spot-based strength. Consequently, BTC is likely to continue trading within a broad range until the liquidity environment improves and strong spot buying returns.