Glassnode: Bitcoin Volatility Falls to 2023 Summer Levels, Fed Decision May Trigger Next Rally

On October 28, Glassnode's latest analysis indicates Bitcoin has slipped back below the $84,000 to $85,000 range, which has blocked upward price gains four times this year. Inflows into US spot Bitcoin ETFs have cooled significantly, recording net inflows of only approximately $67 million over the past two weeks; key buy-side support on Binance’s spot order book has also shifted lower to the $78,000 to $79,000 zone, with a size of around $42 million.

Meanwhile, Bitcoin's one-month realized volatility has declined to roughly 25%, retreating to summer 2023 levels. Since August, realized losses triggered by each downturn have continuously narrowed, signaling eased selling pressure. Glassnode notes that Bitcoin is currently confined in a range-bound consolidation marked by weak demand and limited selling pressure, with the market awaiting the Federal Reserve’s interest rate decision on October 28. A daily close reclaiming $85,000 could serve as an early bullish signal; however, if it breaks below the ~$77,900 average cost basis of active investors, attention will pivot to short-term holder cost support near $75,800.