On-chain analysis platform Glassnode stated in its latest report that the Bitcoin (BTC) market has rebalanced following the historic large option expirations and is preparing for the next directional move.
According to the report, Bitcoin has maintained a strong hold above its “short-term investor cost floor” since May 2025. This level serves as a critical threshold between a continuation of the bull market and potential bearish scenarios. However, analysts believe the price is facing strong resistance in a region of concentrated supply.
The easing of selling pressure from long-term investors and the resumption of ETF inflows indicate a stabilization of the demand side of the market. However, the Fear and Greed Index and the RVT indicator reveal that the market has retreated from “excessive greed” to “neutral and fear” levels. This reflects investors' focus on profit-taking and a decline in risk appetite.
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In the options market, following last week's record expiration, open interest has begun to reshape. This development eliminates hedge‑driven volatility and allows new positions to drive price movements. While volatility has decreased, the curve structure maintains its contango appearance. While front‑end volatility has weakened, the long‑term outlook remains strong in the 39‑43% range.
While fund flows indicate moderate upward interest, traders are maintaining cautious optimism through risk‑reversal strategies and option combinations. The balance of dealer gamma positions is dampening sudden volatility driven by hedges.
As a result, Glassnode argued that the market is currently on a more neutral and constructive footing, but that decisive signs for the next strong directional move have not yet emerged.
*This is not investment advice.