Bitcoin Supply at Loss: Signs of Crypto Winter

Bitcoins supply quantiles cost basis indicates a spot price drop below a critical level, with over 25% of Bitcoins supply held at a loss. This pattern mirrors the market conditions before the last major downturn. The total amount of Bitcoin held at a loss has reached 7.1 million coins, suggesting significant market stress. Despite new capital flowing in, the monthly inflow has decreased from $64.3 billion to $8.69 billion, indicating a slowdown in investor enthusiasm. Off-chain trends also point to a weakening market, with demand for Bitcoin ETFs softening and spot market activity declining. Derivatives data shows a decrease in risk appetite among traders, with open interest falling and traders not positioning for a strong breakout ahead of next weeks FOMC meeting.The Daily News Now! — Every city. Every story. AI-powered. Hosted on Acast. See acast.com/privacy for more information.