ChainCatcher reports that according to Bloomberg, the core issue behind this round of “slow” Bitcoin sell-off is that the investors who were expected to be the most stable buyers in the new cycle have not continued to enter the market. Data from Glassnode shows that investors entering through the US spot Bitcoin ETF have an average purchase cost of approximately $84,100. Currently, with Bitcoin hovering around $78,500, this group is experiencing an unrealized loss of about 8%–9%.
This is not the first time ETF investors have faced paper losses. As early as November last year, when Bitcoin briefly fell below $89,600 (which was the average cost range for ETF investors at the time), analysts pointed out that this would be a critical test of the “confidence strength” of emerging mainstream investors. Since then, with capital inflows at the beginning of 2024 remaining profitable, the overall average cost of the ETF has decreased, but later entrants have fully entered the loss zone. From its peak, Bitcoin has fallen more than 35% below the 2025 high, and over the weekend, in a low-liquidity trading environment, it briefly dropped below $77,000.
Analysts believe this is the result of multiple factors: drying up capital inflows, declining market liquidity, and a general weakening of macro attractiveness. Bitcoin has failed to respond to traditional bullish factors such as a weakening dollar or geopolitical risks, and its decoupling from other assets makes its trend increasingly directionless. The key difference between the sharp drop in October and the current downward movement is market sentiment: now, there is no panic, only “absence.” The rally that pushed Bitcoin above $125,000 in 2025 was driven by market enthusiasm over regulatory prospects, institutional entry, and a bullish retail base. However, after the October crash liquidated billions of dollars in leveraged positions, it was these buyers who once propelled the rally that chose to stay on the sidelines and wait.
Disclaimer: The information on this page may come from third parties and does not represent the views or opinions of Gate. The content displayed on this page is for reference only and does not constitute any financial, investment, or legal advice. Gate does not guarantee the accuracy or completeness of the information and shall not be liable for any losses arising from the use of this information. Virtual asset investments carry high risks and are subject to significant price volatility. You may lose all of your invested principal. Please fully understand the relevant risks and make prudent decisions based on your own financial situation and risk tolerance. For details, please refer to
Disclaimer.
Related Articles
Whales are aggressively buying Bitcoin while retail investors are sitting on the sidelines.
Bitcoin holders, particularly "whales" and "sharks," have increased their positions by 61,568 BTC over the past month, maintaining confidence amidst market volatility and geopolitical tensions. However, persistent excitement among retail investors poses a challenge for price growth. A situation is ideal for a bullish cycle when large wallets accumulate while small ones sell, indicating the market needs a psychological reset for a breakout.
TapChiBitcoin37m ago
Trump Supports Cryptocurrency: America Will Become the World's "Bitcoin Superpower"
Trump stated at the Future Investment Initiative Summit that the United States will become a global superpower in cryptocurrency, emphasizing the importance of Bitcoin and the acceleration of payment trends. He pointed out that the U.S. needs to maintain a leading position in the fields of crypto assets and financial innovation to ensure its dominance in the global financial system.
BlockBeatNews55m ago
Several banks in South Korea are deepening their cooperation with cryptocurrency exchanges, with KB Kookmin Bank renewing its contract despite an incident at a certain exchange.
South Korea’s banking industry is actively strengthening cooperation with cryptocurrency exchanges to deal with constrained loan growth and to seek new profit opportunities. Several banks have established partnerships with exchanges, despite historical incidents involving mistaken Bitcoin airdrops. Regulators plan to expand their regulatory authority, which could intensify competition among banks.
GateNews1h ago
Trump: Bitcoin is very powerful, and the U.S. must stay ahead in this trend.
Gate News report, on March 28, in Miami, Florida, President Trump stated at the Future Investment Initiative (FII) summit that Bitcoin is very powerful, and the United States must stay ahead in this trend. He emphasized that many people currently want to use virtual assets (especially Bitcoin) for payments, and the U.S. must be at the forefront of this trend.
GateNews1h ago
