Peatlands are receiving increasing attention in palaeoenvironmental research and represent very useful terrestrial archives for reconstructing vegetation, climate and human history. Previous palaeoenvironmental studies in the Fotsch Valley, Stubai Alps, Austria, focused on geoarchaeological investigations on the Ullafelsen representing a very important prehistorical encampment site used by Mesolithic hunter-gatherers (10.9–9.5 cal. kyr BP). In order to contribute to a better understanding of the landscape evolution of the Fotsch Valley, we here studied the close-by subalpine ‘Potsdamer Hütte Mire’ by applying radiocarbon dating as well as elemental, biomarker, compound-specific stable isotope, palynological and macrofossil analyses on bulk peat samples. The calculated age-depth model using R Bacon indicates the beginning of peat formation during the Early Holocene and shows a strongly reduced peat accumulation rate (PAR) from 170 to 121 cm depth (8.5–2.1 cal. kyr BP) and/or a striking hiatus. Results of leaf wax-derived n-alkane biomarkers as well as macrofossils and palynological indicators reflect the local presence of coniferous trees and the synchronous expansion of deciduous trees during the Early Holocene. The above-mentioned strongly reduced PAR and/or hiatus coincides with the Neolithic, the Bronze and the Iron Age, and goes hand in hand with strong changes in vegetation and an increase of micro-charcoal and black carbon. Despite age uncertainties, these changes can be explained with strongly increasing human and livestock activities in form of deforestation, domestic fires and the beginning of Alpine pastoralism. The latter is confirmed by the finding of pasture and cultural indicator pollen (Cerealia-type, Rumex, Plantago lanceolata, Poaceae) occurring since the Middle to Late Bronze Age. The oxygen isotope composition of sugar biomarkers (δ¹⁸O_sugars) likely reflects the dry versus humid climatic variability associated with the Holocene climatic optimum during the Mesolithic, the Roman Age, the Late Antique Little Ice Age, the Middle Ages and the Little Ice Age.