Bitcoin's BTC/USD Recent Surge to $104,000 Has Been Driven Primarily by Spot Accumulation and a Notable Reduction in Sell-Side Pressure

Bitcoin's BTC/USD recent surge to $104,000 has been driven primarily by spot accumulation and a notable reduction in sell-side pressure, according to Glassnode's market report released Thursday.

Bitcoin's BTC/USD recent surge to $104,000 has been driven mainly by spot accumulation and a reduction in sell-side pressure, according to Glassnode's market report released Thursday.

What Happened: A key short-term support level has emerged around $93,000-$95,000, with both on-chain and exchange data suggesting that recent buyers are defending this cost basis zone.

“A key accumulation zone emerged between $93k and $95k,” the report notes, adding that this range aligns closely with the Short-Term Holder (STH) cost basis, which includes investors who entered the market in the past five months.

Glassnode analysts highlight that this zone is likely to act as a structural support during pullbacks. "This range… represents a demand zone where investors are likely to see value once again."

Supporting this, net buying pressure has intensified on U.S. exchange Coinbase COIN, while selling on Binance has sharply declined. "Coinbase has experienced a regime of consistent net buying… Binance markets have transitioned from intense net selling… to a milder -$9M daily today."

In derivatives markets, perpetual futures open interest has dropped by 10% from its peak, signaling a short squeeze and cleansing of excessive short-side leverage.

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WHy It MattersL This positions the market for a more sustainable uptrend.

"These types of shakeouts are characteristic of healthy resets… often seen during the early phases of a new market trend," the report states.

While ETF inflows have slowed from a peak of $389 million/day to around $58 million/day, demand remains strong. Glassnode points out that this institutional participation reflects a longer-term conviction in Bitcoin, echoing inflow patterns from earlier rallies in 2024.

Options market data also shows traders leaning bullish.

The 1-month 25 Delta Skew stands at -6.1%, indicating traders are paying more for calls than puts, a classic sign of upside speculation.

The report further states that Bitcoin's upward momentum is well-supported.

As long as the cost basis support zone holds and derivatives markets continue to stabilize, the rally may remain intact even as the asset approaches its all-time high near $109,000.

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