Bitcoin spot market continues to slump, but derivatives tell a different story

Glassnode reported that derivatives activity is improving despite weak spot trading in the Bitcoin market.

Speculative activity in the Bitcoin market is showing signs of recovery, even though spot market participation remains subdued, according to Glassnode’s latest research.

The analytics firm said spot trading activity remained uncertain as spot trading volumes fell below the statistical floor of $4.5 billion, indicating a sustained decline in liquidity and slowing investor participation. This low trading volume typically accompanies periods of consolidation, when the market struggles to build enough momentum for a decisive breakout.

At the same time, spot cumulative volume delta (CVD) showed that aggressive taker selling has eased compared to the previous week. Although the indicator remains in negative territory, the narrowing of the deficit indicates that sellers are becoming less aggressive. This measure currently sits comfortably within statistical range as traders reassess the direction of the market.

Although the spot market remains quiet, derivatives data shows that speculative appetite is gradually returning.

Derivatives activity is increasing

As an example, futures open interest rose to $32 billion. Glassnode said this steady increase shows that traders are gradually rebuilding leveraged positions, leading to increased participation in the futures market overall.

However, the long-side capital payout has dropped to $1.7 million, now nearing the statistical ceiling. According to the report, this suggests that although bullish positions still prevail, traders are paying a smaller premium to maintain long positions. This means that aggressive bullish beliefs have eased compared to recent sessions.

Perpetual CVD, on the other hand, rebounded sharply, reversing its net selling bias to a positive $123.2 million. A move into positive territory signals a change in taker behavior, as active buyers have more influence over price action than sellers.

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Options positioning shift

Activities in the options market have also intensified. With more capital committed to derivatives positions, options open interest increased to $30 billion, but this number is still slightly below the statistical lower end of $30.3 billion. Glassnode said this trend suggests traders are actively opening new positions. This may increase the likelihood of movement in the strike price of the major option.

At the same time, volatility spreads have narrowed sharply and are now comfortably within the statistical range. This indicates that implied volatility closely matches real market movements and that option traders are demanding a smaller risk premium.

This trend is also evident in option 25 delta skew, which has receded significantly as demand for protective put options weakens and bearish hedging activity eases as sentiment becomes more neutral.