glassnode: Bitcoin falls below STH cost basis and triggers demand for hedging, with both futures and options markets entering full defensive mode

Jinse Finance reported that glassnode published a weekly market observation article stating that Bitcoin has fallen below the short-term holder cost basis and the negative one standard deviation range, putting recent buyers under pressure. The $95,000 - $97,000 area is now a key resistance level; if this range can be reclaimed, it will serve as an initial signal for market structure recovery. Spot demand remains weak: US spot ETF capital flows are deeply negative, and there has been no new buying from traditional financial (TradFi) allocation institutions. Speculative leverage continues to unwind, a trend reflected in the decline of open interest (OI) in futures, and funding rates for the top 500 assets by market cap have all dropped to cycle lows. The options market has significantly repriced risk: implied volatility across all expiries has risen, while "skew" remains deeply negative—this is because traders are willing to pay high premiums for downside protection. Put option-dominated capital flows and demand at key strike prices (such as $90,000) further reinforce the market's defensive positioning, with traders preferring to actively hedge risks rather than increase upside exposure. The Digital Asset Volatility Index (DVOL) has rebounded to a monthly high, linking the broad repricing of risk across volatility, skew, and capital flow indicators, while also signaling expectations that "short-term volatility may increase."