- Bitcoin stabilized at $119K after a $9.6B sell-off, showing resilience during one of the largest distribution events in its trading history.
- Over 97% of Bitcoin’s circulating supply remains in profit, while unrealized gains across the market reached a new all-time high of $1.4 trillion.
- Bitcoin continues to trade within a strong $105K–$125K range, with major cost-basis clusters suggesting deep support and potential breakout toward $141K.
Bitcoin exhibited strong market depth over the weekend, which absorbed a $9.6 billion sell-off from 80,000 BTC. The price stabilized very quickly back near $119,000 after this liquidity stress event, revealing the strength of the network’s structure and ability to trade large amounts of on-chain liquidity.
OTC Distribution Tests Bitcoin’s Market Depth
According to a post by on-chain analytics firm Glassnode, the weekend saw an early Bitcoin investor distribute 80,000 BTC through Galaxy Digital’s OTC services. The $9.6 billion in sell-side volume led to a brief dip to $115,000. However, the market recovered quickly, stabilizing just below the all-time high at $119,000.
This episode served as a direct test of liquidity, especially during typically low-volume weekend sessions. The market absorbed the sell-side activity efficiently. This transaction was also one of the largest isolated profit-taking events in Bitcoin’s trading history.
Net Realized Profit/Loss spiked sharply to a record $3.7 billion before the actual distribution. This reflected earlier movements, later verified as economically meaningful transactions, recorded via entity-adjusted heuristics.
Unrealized Profit Reaches Record Highs
Despite the volume sold, unrealized profits across the Bitcoin network have hit new records. Data shows over $1.4 trillion in paper gains remains intact, with 97% of the circulating supply still held in profit.
This suggests that the majority of market participants continue to hold coins above their acquisition price. Unrealized Profit as a percentage of market cap has once again surpassed its +2σ band, a level historically observed during euphoric phases and previous all-time highs.
Long-Term Holders (LTHs) still retain 53% of network wealth. This percentage remains notable given the cycle’s ongoing distribution activity. As unrealized profit levels rise, the potential for more profit realization by LTHs also increases.
Long-Term Holder Behavior Indicates Market Pressure
The Long-Term Holder Net Realized Profit/Loss metric climbed to $2.5 billion—surpassing the previous high of $1.6 billion. This marks the largest single sell-side pressure event in Bitcoin history. Even so, Bitcoin’s price response remained measured, stabilizing just below its all-time high.
Source: Glassnode
During this cycle, a consistent pattern has emerged. Accumulation is often followed by aggressive distribution phases. This cycle is no exception. Over the last 30 days, the LTH/STH supply ratio fell by 11%, confirming that distribution remains active.
Such data suggests continued distribution pressure could persist unless supported by strong demand inflows. Past events—such as Mt. Gox repayments and German government sales—have also confirmed Bitcoin’s structural robustness.
Trading Range and Breakout Potential
Bitcoin currently trades between $105,000 and $125,000. Multiple on-chain models support this as the prevailing range. A confirmed breakout above $125,000 may push prices toward $141,000, where resistance and profit-taking are expected to intensify.
Glassnode’s tweet noted that despite the distribution, the market “absorbed the sell-side pressure efficiently,” reflecting “deep liquidity and structural resilience.”
Within the $117,000–$122,000 range, a dense cost basis cluster has formed, indicating heavy accumulation. In contrast, a low-volume “air-gap” exists from $115,000 to $110,000. While such gaps do not require filling, they often act as pullback zones when tested.
Short-Term Holder Metrics Reinforce Market Strength
The Short-Term Holder (STH) Cost Basis remains a critical indicator of sentiment. Bitcoin is still trading above the STH average cost, suggesting bullish conditions. Standard deviation bands around this cost basis provide structure for identifying local tops or breakouts.
The STH CB ranges are:
- +2σ: $141.6K
- +1σ: $125.1K
- Base: $105.4K
- –1σ: $92.1K
Source: Glassnode
Historically, price action near the +1σ band has aligned with topping patterns. The current setup closely resembles previous structures, signaling a possible continuation within the defined range unless a breakout occurs.
Sub-cohort analysis within the STH group shows acquisition prices clustering between $110,000 and $117,000. These levels also match the volume gap zone, creating a strong area of confluence and potential support.
Market Sentiment and Momentum Indicators
An equal-weighted momentum index across short-term cohorts reveals that most new investors are still holding coins in profit. This index remains above its long-term mean and trends toward the +1σ level, signaling steady momentum.
Momentum stability supports the broader trend of market confidence. Short-term participants continue to hold above cost, contributing to limited panic selling during distribution periods.
Furthermore, price behavior relative to short-term cost basis bands continues to provide valuable insights. As long as Bitcoin remains above the STH Cost Basis, conditions suggest structural support remains firm.
Final Observations on Market Structure
Bitcoin’s response to the $9.6 billion sell-off highlights the maturity of its trading infrastructure. The asset’s liquidity, demonstrated by the Realized Cap exceeding $1.02 trillion, confirms market strength.
97% of coins are in profit, and soon enough, the investors’ behavior signals cautious profit-taking; the network remains in a strong position. If there were to break out above $125,000, we would see the potential for the next phase of speculation. A retracement towards $110,000 would be a test of the existing support cluster.
This latest development in the market is showing Bitcoin’s capability to create stability during times of stress, and only further adds to its position as a maturing financial instrument within a developing digital economy.
