Bitcoin Near $110K: Long-Term Holders Profitable as Leverage Slowly Returns

• Long-term holders (LTHs) show no stress: NUPL stays positive, with profits intact unless BTC drops below $37K.

• LTH/STH SOPR ratio trends downward, indicating LTH restraint while short-term holders secure gains.

• Leverage rebuilds slowly on Binance, aligning with BTC’s rebound from $104K, but controlled to avoid over-speculation; STH realized price at $100K acts as key support.

Discover why Bitcoin at $110K remains resilient with LTH profits and rising leverage. Explore key metrics signaling market strength—stay informed on BTC trends today with COINOTAG analysis.

What is the current strength of Bitcoin at $110K?

Bitcoin is demonstrating resilience near $110K, supported by long-term holders who are firmly in profit according to Net Unrealized Profit/Loss metrics. This positioning acts as a buffer against volatility, while short-term holders navigate support levels around $100K. Trader activity on major exchanges like Binance shows gradual leverage recovery, pointing to measured optimism without excessive risk-taking.

How are long-term holders influencing Bitcoin’s market stability?

Long-term holders (LTHs) are playing a pivotal role in maintaining Bitcoin’s stability at $110K. Data from on-chain analytics, such as the Net Unrealized Profit/Loss (NUPL) for LTHs, indicates sustained positive territory, reflecting unrealized gains that foster confidence among seasoned investors. For instance, LTHs would only face significant losses if Bitcoin fell below $37K, a threshold far removed from current levels, as referenced in reports from analytics firms like Glassnode. This psychological buffer discourages panic selling and supports price consolidation.

The LTH/STH Spent Output Profit Ratio (SOPR) further highlights this dynamic, with the ratio declining as LTHs reduce selling while short-term holders (STHs) actively realize profits. Historical patterns from cycles in 2021 and 2017 show similar divergences near peaks, suggesting LTH restraint could allow for short-term STH-driven movements before broader resets. Bitcoin’s STH realized price hovers just below $100K, serving as critical support; maintaining above this level keeps STH sentiment positive and reduces correction risks. Expert analysis from on-chain specialists emphasizes that such holder behavior underscores the market’s late-cycle maturity, with LTH conviction providing a foundation for potential upside if key resistances like $113K are breached.

LTHs show no signs of stress yet

The Net Unrealized Profit/Loss (NUPL) for LTHs remains firmly in positive territory, which means that most are still sitting on significant unrealized gains.

Source: Alphractal

This metric acts as a proxy for market confidence among seasoned investors. Despite recent price volatility near $110K, the data shows that long-term conviction remains unshaken.

For this group to experience real financial discomfort, Bitcoin would have to fall below $37K; a level not seen since early 2024.

As it stands, their positioning provides a psychological buffer, reducing the likelihood of panic selling in the current range.

A late cycle phase?

Source: Alphractal

The LTH/STH SOPR ratio has been trending downward, which means that LTHs are reducing their selling activity while STHs continue to attempt to secure profits.

Such divergences have emerged near cycle peaks, as seen in late 2021 and mid-2017.

With the ratio hovering near its lower historical bound, it is obvious that LTHs are showing restraint, leaving room for STHs to dominate short-term price action.

This could cause a brief speculative upswing before broader market momentum resets — much like the pattern seen during previous high-volatility phases.

Source: Alphractal

Additionally, Bitcoin’s STH Realized Price was just below $100K, acting as a crucial short-term support zone. As long as BTC trades above it, STHs stay in profit, keeping near-term sentiment stable.

However, a drop below could invite sharper corrections.

Leverage creeps back in

Leverage activity on Binance is slowly rising again after falling sharply in mid-October.

The estimated leverage ratio climbed from 0.148 to 0.166; a measured return of risk-taking behavior.

This aligns with Bitcoin’s gradual rebound from $104K to just above $110K, which means traders are testing the waters without going all in.

Source: CryptoQuant

Unlike previous spikes, this leverage build-up is controlled, showing limited confidence in near-term upside. The lack of heavy speculation shows the market is still waiting for direction.

If Bitcoin stays above $110K, confidence may slowly return.

Bitcoin [BTC] is trading near $110K, with long-term holders (LTHs) sitting on solid gains and leverage returning to Binance [BNB].

Traders see the move as psychological, with $113K acting as a key level that could either cause a breakout or help with another round of resistance-driven selling.

Frequently Asked Questions

Is Bitcoin strong at $110K with LTH profits intact?

Yes, Bitcoin remains strong near $110K as long-term holders hold significant unrealized profits per NUPL data from on-chain sources. This stability persists unless prices drop substantially below $37K, providing a solid foundation against short-term volatility; current metrics from Glassnode confirm LTH conviction.

What does rising leverage on Binance mean for Bitcoin traders?

Rising leverage on Binance from 0.148 to 0.166 indicates traders are cautiously re-entering the market after mid-October dips. This gradual increase supports Bitcoin’s rebound above $110K, offering stability for voice searches on trading sentiment, but it remains measured without signs of aggressive speculation yet.

Key Takeaways

• LTHs in profit provide buffer: Positive NUPL ensures no stress until below $37K, stabilizing Bitcoin at $110K.
• Leverage returns cautiously: Binance ratio up to 0.166 aligns with price recovery, but controlled to reflect limited full confidence.
• $113K as pivotal level: Breaching it could spark breakout; otherwise, resistance may lead to selling—monitor closely for next moves.

Conclusion

In summary, Bitcoin at $110K benefits from robust long-term holder profits and tentative leverage growth on platforms like Binance, as evidenced by key on-chain metrics from sources such as CryptoQuant and Alphractal. These factors highlight market maturity in this late-cycle phase, with STH realized prices offering short-term support. As COINOTAG analysis from October 2025 suggests, staying above critical levels could pave the way for renewed trader engagement—investors should track these indicators for informed decisions moving forward.

Published by COINOTAG on October 25, 2025. Last updated: October 25, 2025.