- Only 30% of invested Bitcoin capital remains profitable, while approximately $756 billion is underwater, according to Darkfost.
- Spot net volume delta turned negative on Binance (-28million)and Coinbase(-9.4 million), indicating stronger selling pressure.
- Glassnode reports rising open interest and renewed long positioning, while Bitcoin’s 30-session correlation with the S&P 500 reaches 0.80.
Bitcoin faces renewed downside pressure as spot selling overtakes buying on Binance and Coinbase, weakening support around $75,000. Analyst Darkfost identified $70,000 as the next potential support, while Glassnode reported rising leverage and renewed long positioning. Meanwhile, Bitcoin’s 30-session correlation with the S&P 500 has climbed to 0.80.
Bitcoin Investors Face Heavy Losses Around $75,000
According to Darkfost, approximately $26 billion in Bitcoin changed hands around current price levels. Most invested capital is between $75,000 and $85,000. At current prices, only 30% of invested capital remains profitable, representing approximately $328 billion. Meanwhile, roughly $756 billion is at a loss.
Bitcoin is struggling to maintain support above $75,000. However, less capital changed hands between $75,000 and $70,000. Darkfost identified $70,000 as the next potential support if sellers break the current level.
Spot Selling Reverses on Binance and Coinbase
Spot market data also shows a sharp shift in trading activity. According to the reported analysis, sell volume now exceeds buying on Binance and Coinbase. The shift follows a period of strong buying during late summer.
At the end of August, the 30-day spot net volume delta reached $64.8 million on Binance and $64.3 million on Coinbase. Buying continued into September as Bitcoin climbed from $63,000 to $85,000. However, yesterday’s readings fell to negative $28 million on Binance and negative $9.4 million on Coinbase.
Coinbase recorded the reversal in October, while Binance maintained positive net spot volume longer. The latest sell-off also coincided with midterm election volatility. Bitcoin dropped 5.5%, while the S&P 500 and Nasdaq fell 4.3% and 6.3%, respectively.
Glassnode Reports Rising Leverage and Equity Correlation
Meanwhile, Glassnode reported that Bitcoin open interest increased approximately $1 billion during the US session sell-off. It added another $500 million during the following US session. Funding rates initially cooled before rising again.
Glassnode also reported renewed long positioning. Additionally, Bitcoin’s correlation with the S&P 500 reached 0.80 across the last 30 US trading sessions. Since 2020, that correlation has generally remained much lower.
