Glassnode Sounds Alarm as Bitcoin Crash Forces Market Retreat
On 21 October 2025 the on-chain analytics firm Glassnode reported that the crypto market is entering a defensive phase. Key indicators show that holders are nervous, leverage is dropping and large players are taking cover.
📉 On-Chain Metrics Show Stress
Glassnode found that the Relative Strength Index (RSI) for Bitcoin briefly broke below major support, while the 25-delta skew in options moved sharply toward put buying. These signs point to increasing fear among traders.
The firm also noted a drop in spot trading volume and a sharp increase in derivative funding rates, suggesting many leveraged positions were closed quickly. The overall activity points toward a market cleanup before the next phase of growth.
🌍 Market Reaction and What This Could Mean
Although long-term holders continue to buy, the short-term sentiment is weak. Glassnode’s report says the market needs renewed confidence before a broad bullish trend returns. For now the focus is shifting to preservation and steady accumulation rather than wild gains.
✅ Final Takeaway
If you follow NextBitcoins.com you know that crypto can swing fast. This phase of risk-off behaviour may not feel fun but it can lay the foundation for the next move upward. Stay alert, stay informed and keep your strategy based on research rather than hype.
