Bitcoin is testing a critical support level at $108,500, where 15% of BTC supply sits at a loss, according to Glassnode data. The cryptocurrency has fallen below the short-term holder cost basis of $113,100, a structure that historically signals mid-term bearish phases. Historical patterns indicate that failure to hold the $108,500 threshold could trigger a deeper correction toward $97,500, where 25% of supply would be underwater.