Bitcoin signals bullish rebound amid fragile consolidation – Glassnode

Bitcoin is showing early bullish signals as it emerges from a recent correction phase, though analysts caution that the market remains fragile. On-chain analytics platform Glassnode reported that the relative strength index (RSI) has rebounded into the upper-neutral zone, reflecting growing upside momentum.

More Bitcoin supply is returning to profitability, while realized losses have dropped sharply, signaling a gradual improvement in holder sentiment. Spot market activity points to reduced selling pressure and modestly expanding volumes, indicating improving liquidity without excessive speculation.

Derivatives data shows controlled repositioning, with perpetual futures reflecting renewed buying conviction. US spot ETFs are also seeing positive inflows as institutional interest returns. According to Glassnode, Bitcoin is in a “fragile consolidation regime,” where participation and institutional flows are improving, but structural on-chain demand remains subdued, keeping the market sensitive to volatility.

Nick Ruck, director at LVRG Research, highlighted that renewed institutional inflows and strong options positioning above $100K suggest significant upside potential in the coming weeks. Technical indicators, including On-Balance Volume (OBV), have broken out from downtrends since Bitcoin’s all-time high of $126,000, driven by spot accumulation.

Analysts note that $94,500 currently serves as resistance, and a successful breakout above this level could propel Bitcoin toward $98,000–$100,000, provided support at $94,000 holds. While the rebound is promising, market participants are advised to remain cautious of profit-taking and volatility during this consolidation phase.