Bitcoin News Today: Bitcoin Rises 5.2% as Active Addresses Hit 793,000 and RSI Gains 14.5%

Bitcoin's price surged this week, rebounding from below $114,000 to nearly $121,000, signaling renewed momentum in the spot market [1]. According to data from blockchain analytics firm Glassnode, the price recovery was accompanied by increased user engagement, as reflected in the daily active address count rising to 793,000 [1]. However, on-chain transfer volume remained flat at $8.5 billion, indicating that while user activity is up, transaction volume has not yet surged in tandem.

The Relative Strength Index (RSI), a key gauge of price momentum, rose to 47.5 from the previous week, a 14.5% gain [1]. This suggests a strengthening in investor interest but remains below the 50 threshold typically associated with bullish trends. Analysts caution that sustained momentum is needed to confirm a reversal in the short-term trajectory [1].

Despite the price rebound, spot trading volume fell by 22% to $5.7 billion, pointing to reduced market participation [1]. This drop could indicate a consolidation phase or a temporary exhaustion of buyers following the recent price swings. In futures markets, open interest declined from $44.6 billion to $44.1 billion, reflecting a slight reduction in leveraged positions, possibly due to profit-taking or liquidations [1]. The funding rate for long positions also dropped by 2% to $2.9 million, signaling a slight cooling of bullish sentiment although long positions remain in demand [1].

The options market, by contrast, showed signs of growing activity, with open interest increasing to $42.4 billion—a 6.74% rise from the previous week [1]. This growth is attributed to speculative positions and evolving trading strategies. Meanwhile, the volatility spread, a measure of trader fear, dropped sharply to 10.45% from 31.97% last week, indicating a more stable and less volatile market environment [1].

In the ETF sector, weekly net inflows improved significantly, rising over 54% to -$311 million from -$686 million [1]. While still negative, the decline in outflows suggests a potential shift toward accumulation. In contrast, overall trade volume fell by 27.7% to $13.7 billion, reinforcing the idea of a consolidation phase in the market [1].

Glassnode’s analysis highlights a mixed outlook for Bitcoin in the near term. While the price recovery and rising active addresses point to optimism, the decline in spot and futures volumes signals reduced confidence among traders. The RSI’s position below 50 and the shrinking open interest further underscore caution. However, the growth in options market participation and ETF inflows provide a counterbalance, indicating continued strategic interest in the asset [1].

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[1] Bitcoin Bounces Back This Week, But Glassnode Sees Trouble Ahead – [https://cryptopotato.com/bitcoin-bounces-back-this-week-but-glassnode-sees-trouble-ahead/](https://cryptopotato.com/bitcoin-bounces-back-this-week-but-glassnode-sees-trouble-ahead/)