A new report from on-chain analytics firm Glassnode reveals that Bitcoin profit realization saw a significant reset just before the cryptocurrency's recent price surge to above $94,000 in early January 2026. The 7-day moving average of Bitcoin's Realized Profit, which measures the total profit investors realize when selling coins, plummeted from consistently above $1 billion throughout much of Q4 2025 to just $183.8 million in December.
Glassnode analysts noted that this "deceleration in realized gains, particularly among longer-term holders, signalled an exhaustion of distribution-side pressure that had been anchoring price action in the prior quarter." They concluded that as sell-side intensity eased, "the market was able to stabilize, regain composure, and support a renewed upside impulse." This cooldown in profit-taking was followed by BTC's climb above $94,000 during the first week of 2026.
However, the bullish momentum has faced headwinds. Bitcoin dipped below $90,000 to $89,300 on January 8th, triggering $440 million in liquidations, with 70% being long positions. The price has since rebounded to around $91,000. Analysts point to several cautionary signals. The Bitcoin Unified Sentiment Index shifted from fearful to neutral for the first time since November 2025, suggesting a lack of sustained optimism.
Furthermore, on-chain metrics indicate weak underlying demand. The "apparent demand" metric, used to gauge market liquidity, dropped into negative territory in November. Historically, when this metric remains below zero for over a month, it signals either deep consolidation or the start of a structural shift toward a bear market. This is compounded by mostly negative Bitcoin spot ETF flows over the past two weeks, underscoring weak institutional and retail buying pressure for the leading crypto asset.
