Glassnode Reports Sharp Decline in Bitcoin Long-Term Holder Liquidity

Glassnode's recent report highlights a sharp decline in Bitcoin's long-term liquidity, correlating with the market downturn.

Key Findings

The Bitcoin Short-Term Holder (STH) Realized Profit/Loss Ratio has dropped significantly since early October, indicating substantial losses among recent buyers.
The current STH ratio is at 0.07, deep in the loss region, showing liquidity evaporation, especially after increased spending by long-term holders in Q2-Q3 2025.
The Long-Term Holder (LTH) Realized Profit/Loss Ratio, measured by a 7-day EMA, shows a decline but remains at 408, suggesting LTHs maintain profitability.
If the LTH ratio compresses toward 10x or lower, it could signal a deeper bear market.

The future of Bitcoin's liquidity depends on changes in the LTH Realized Profit/Loss Ratio.

Bitcoin is trading at $90,600, down 1.3% over the past week.