Bitcoin (BTC) has recently plummeted to a four-month low, shedding over 25% from its peak of $73,135 on March 13, triggering a significant downturn across the cryptocurrency market.
Currently, BTC is trading at $55,291, marking a 3.06% decline in the past 24 hours and adding to a weekly loss of 10.11%.
Since hitting its high of $1.4 trillion on March 13, Bitcoin’s market capitalization has contracted by $350 billion.
This downward trajectory has been exacerbated by substantial sell-offs and the ongoing reimbursement process by bankrupt exchange Mt. Gox, which is distributing nearly $9 billion in Bitcoin owed to creditors.
Moreover, the German government has initiated a series of Bitcoin sales, liquidating a significant portion of its holdings acquired in 2013 from the Movie2K website operator seizure. The recent transactions have totaled 6,625 BTC, yielding profits of $397 million over ten days.
While initially causing market concerns, the narrative around Germany’s Bitcoin sales may not accurately reflect market impacts, as observed by developer Samson Mow, suggesting a nuanced evaluation of the situation.
Bitcoin could be on the verge of another major breakout as institutional inflows return to levels that historically trigger rapid price acceleration.
According to on-chain analyst Darkfost, Bitcoin is entering a new stage of on-chain behavior marked by two key developments: a rare third peak in the SOPR Trend Signal during a single bull cycle and a sustained outflow dominance in exchange flows.
According to the latest Santiment report, the crypto market is entering a critical phase, with a mix of bullish on-chain signals and cautionary sentiment indicators.
In a stunning on-chain event that has reignited curiosity across the crypto community, more than $8.6 billion worth of Bitcoin linked to the network’s earliest years—commonly referred to as the “Satoshi era”—was quietly moved on Friday in what analysts believe is the largest single transfer of early-mined BTC ever recorded.