Crypto Markets Climb Higher but ‘Bitcoin Sits at a Crossroads,’ Says Glassnode

Crypto markets are closing the week higher on Friday, Sept. 12, with traders leaning into bets that The Federal Reserve will cut rates next week. The total market cap of all cryptocurrencies added about 1% to top $4.1 trillion in the past 24 hours, lifted by steady crypto exchange-traded fund (ETF) inflows and gains across large-cap cryptocurrencies.

Bitcoin (BTC) is trading just above $115,000, up 0.7% on the day, after breaking above $116,000 last night. Ethereum (ETH) is trading above $4,500, gaining a solid 2.3% today and pushing back to levels last seen in late August.

Dogecoin (DOGE) remains the top performer on the week among the top-10 crypto assets, gaining 21% over the period and 6.2% in the past day, as traders await the imminent launch of a Dogecoin ETF in the U.S., which has been delayed multiple times.

Among the top-20 assets, Hyperliquid’s HYPE is also a top gainer, up 20% this week, as prominent stablecoin issuers, including DeFi native projects, compete to be selected as the issuer and manager of the platform’s recently announced stablecoin, USDH.

Among other large-caps, Solana (SOL) is continuing to have a strong week, up 14.5% to $239. BNB is up 6.3% on the week and 1% on the day at $909, while XRP is also up slightly today at $3.04, showing 5.9% gains for the week.

BTC at a Crossroads

Analysts at Glassnode noted in an X post today that Bitcoin’s cost basis distribution “highlights dense support around $110k–$114k, where a large share of supply was acquired.” They note that the next “major supply zone” sits near $117,000, which may provide “resistance if price tests this level.”

Now, Glassnode says, the ability to hold above $114,000 will be critical for Bitcoin in “restoring confidence and drawing in fresh inflows,” while failure to do so risks “renewed stress for short-term holders, with $108k and ultimately $93k as key downside levels.”

Glassnode added in a report published yesterday, Sept. 11:

Liquidations, ETFs and Macro

U.S. spot Bitcoin ETFs pulled in more than $550 million in fresh net inflows on Thursday, Sept. 11, while spot Ethereum ETFs added another $113 million, per SoSoValue, continuing to reverse a multi-day outflow trend.

Over the past 24 hours, about $278 million in leveraged positions were liquidated, the majority of which were short positions, at $210 million. BTC led with over $73 million in liquidations, followed by ETH at $61.2 million, while SOL and other altcoins saw $39 million and $21 million in liquidations respectively, Coinglass data shows.

On the macro front, this week, new produce price index (PPI) and consumer price index (CPI) data was released. CPI met economists expectations with a year-on-year rise of 2.9%. Meanwhile, jobless claims saw their steepest weekly jump in four years, leaving investors focused on a likely 0.25% Fed rate cut on Sept. 17, Reuters reported today. Expectations for a larger 0.5% cut have eased, with the CME FedWatch tool showing that traders now see an over 92% probability of a smaller cut.