Bitcoin News Today: Bitcoin's $110k Support Braces for Impact: Whale Sales and Options Expiry Collide

Bitcoin's on-chain dynamics have intensified as major holders and institutional players navigate a volatile market, with price action testing critical support levels ahead of a pivotal options expiry. A wallet attributed to early adopter Owen Gunden, holding over 10,000 BTC, has aggressively offloaded 2,587.6 BTC — worth $290 million — onto Kraken, signaling profit-taking amid BTC's pullback from record highs in October, according to a Yahoo Finance report. This move, representing 25.9% of Gunden's holdings, has exacerbated selling pressure as Bitcoin's price dipped to $108,000 before rebounding to $110,000. The decline triggered over $831 million in liquidations, including $665 million in long positions, underscoring heightened market fragility, the Yahoo report added.

Long-term holder (LTH) activity has further compounded concerns. Over the past 30 days, LTHs have sold 325,600 BTC, the largest monthly drawdown since July 2025, according to a Coinotag analysis. This represents weakened bullish conviction despite BTC's 128-day streak above $100,000. On-chain metrics show increased short-term holder accumulation, but net outflows have driven a 3% price drop, testing the $110,000 realized price for 3–6 month holdings, the Coinotag analysis noted. Meanwhile, Binance's Bitcoin Scarcity Index hit a multi-month high, reflecting sustained accumulation by whales and large investors, the Yahoo report said.

The market's volatility has intersected with derivatives activity. With $13 billion in options set to expire on October 31, dealers hold negative gamma exposure at key strike prices ($100,000 and $111,000), indicating potential for heightened price swings as market makers hedge their positions, according to a CoinDesk report. Analysts warn that gamma sensitivity near expiry could amplify turbulence, particularly if BTC breaks below $110,000, triggering further sales from the 6–12 month LTH cohort, the Coinotag analysis cautioned.

Retail traders have increasingly dominated Bitcoin's price action, with smaller order sizes and red Futures Taker CVD metrics confirming their influence, according to an AMBCrypto analysis. Exchange inflows have surged, signaling deposits for potential selling, while Futures Netflow dropped 135% to -$334.6 million, reflecting bearish positioning, the AMBCrypto analysis noted. Despite this, spot trading volume has risen, signaling healthier market participation as investors avoid leveraged bets post-October deleveraging, per Coinotag.

Institutional demand remains subdued. ETFs have seen $471 million in outflows on October 29, reversing previous inflows, as profit-taking and risk-off sentiment dominate, the Yahoo report observed. Bitcoin's realized cap, however, rose $8 billion to $1.1 trillion, driven by treasury firms and ETFs, though analysts like Ki Young Ju of CryptoQuant note recovery will remain limited without renewed institutional buying, according to a Cointelegraph report.

Amid the uncertainty, Grok AI's bold prediction of $200,000 by year-end, outlined in a CryptoNews article, has sparked debate. The AI model cites institutional adoption, shrinking supply, and BTC's role as a global store of value as key drivers. While bullish, this projection contrasts with current on-chain signals of consolidation, where retail dominance and whale caution suggest a range-bound phase between $111,000–$115,000, the AMBCrypto analysis argued. A breakout above $115,000 could reignite institutional interest, while a breakdown below $110,000 risks testing $93.3k support, the Coinotag analysis warned.

The Federal Reserve's upcoming policy decision looms as a critical catalyst. If holders continue offloading BTC ahead of the FOMC meeting, it may signal profit-taking amid macroeconomic uncertainty. Conversely, a sustained hold above $110,000 could attract institutional buyers viewing dips as entry points, the Coinotag analysis concluded.