On-chain analytics firm Glassnode assessed that Bitcoin has entered a cautious transition phase, retaining most of its sharp gains after rebounding from a low of $64,000.
According to Glassnode’s market report dated the 31st (local time), Bitcoin rebounded from a low near $64,000 in August and has held on to most of its price gains, trading near $78,300.
The report analyzed that institutional investment demand remains solid across the cryptocurrency market, while trading activity in the spot and derivatives markets has shown some signs of slowing. Price momentum is above the statistical upper threshold.
However, turnover in secondary-market trading and the spot cumulative volume delta (CVD) suggest a possible shift in the supply-demand flows of market-order traders, while retail investor participation has also slowed. In summary, the market is currently considered to have entered a cautious transition phase.