According to a report by Glassnode dated October 14, Bitcoin faces significant resistance at the 88,000 USD level. This price point represents the average cost basis for investors who acquired the asset between six and twelve months ago. A second major hurdle exists near 100,000 USD, the cost basis for those who purchased between one and two years ago.
The market is currently supported by a critical zone between 80,000 USD and 81,500 USD. While spot Bitcoin ETFs saw nearly 3 billion USD in net inflows from September 21 to October 6, the trend reversed on October 7 with approximately 760 million USD in net outflows. The average cost basis for these ETFs is currently near 81,500 USD.
On-chain data indicates that selling pressure from long-term holders has decreased, with realized losses dropping 85% since August 12. Currently, profitable sales outnumber loss-making sales by a ratio of four to one. Additionally, the Altcoin Froth Indicator shows increased leverage in specific tokens, which could lead to liquidations if Bitcoin falls below 80,000 USD.
Macroeconomic factors continue to influence market sentiment, following September inflation data showing a 3.7% annual increase in the Consumer Price Index. With the Federal Reserve's next policy decision set for October 28, analysts suggest that a sustained recovery for Bitcoin requires both renewed ETF inflows and a breakthrough above the 88,000 USD resistance level.
