Bitcoin Price Faces Increasing Selling Pressure As Downtrend Approaches Six-Month Track
Bitcoin selling pressure is increasing as the price of bitcoin climbs to a six-month losing streak in a row, however subtle flows indicate a market split where short-term holders are exiting while institutions are pulling supply.
Bitcoin price traded below $65,000 late Tuesday after falling from above $74,000 in early March. This move came along with an increase in exchange revenue, about 22,000 BTC sent to trading platforms at one time, indicating the distribution of recent buyers.
Despite that pressure, the price held above the $60,000 range and remains above long-term support levels.
The important question is where the coins go.
On-chain data points to the continuous transfer of supply from short-term owners to large enterprises. In the past month, approximately 63,000 BTC have been collected through exchange-traded funds and similar vehicles, reducing the sales portion. That flow suggests that institutional demand has rebounded after several months of declining exposure.
ETF data shows that income has started to stabilize after a period of continuous outflows.
US-listed Bitcoin ETFs recorded nearly $1.2 billion in net inflows in March, marking a turnaround. The renewed demand has not been strong enough to raise the price, but it has helped absorb the coins sent to the market during periods of weakness.
Short-term holders, defined as wallets that hold Bitcoin for less than 155 days, tend to react to drawdowns and volatility. Their sales tend to peak during consolidation phases, increasing the availability of low-end properties. That pattern resurfaced as Bitcoin price struggled to gain momentum following a failed push above $76,000 earlier in the month.
At the same time, the supply available to these managers is limited. As the coins enter long-term storage or institutional vehicles, the supply is tight. If demand remains stable, that volatility can create the basis for future price stability.
Bitcoin price six straight months of losses
Nevertheless, major trends continue to shape the broader trend. Bitcoin is on track to match an unusual six-month losing streak, last seen in 2018-2019. A monthly close below $67,300 would confirm the sequence, indicating continued pressure on all risk assets.
Unlike previous cycles, the price of Bitcoin has not broken below its 200-week moving average or price range, levels that have marked the decline of previous bear markets. That has left the market in the middle ground, without speculation or a clear recovery, according to him Bitcoin Magazine Pro data.
Nicolai Sondergaard, a research analyst at Nansen, said the stance reflects uncertainty tied to key drivers.
“Bitcoin still looks tied here, it’s not completely weak but it’s not in a pure risk position.” The Spot holding about $ 67,685 alongside the exchange outflows suggests that there is still a fundamental accumulation, but the options placed at the end of the week show more uncertainty than belief, with a skew and IV associated with power, crypto-pricing, instead of crypto-pricing. search,” wrote Nicolai Bitcoin Magazine.
Macro signals have taken precedence over Crypto-specific catalysts. Oil prices above $100, changing expectations for price cuts, and national tensions have affected allocation decisions. Bitcoin price remains correlated with equities and other risky assets, limiting the impact of internal flows.
Bitfinex analysts pointed to the change in institutional behavior as the main development.
“Institutional flows have undergone a clear change of regime. After a strong phase of accumulation in early March, ETF flows turned negative, resulting in a large one-day outflow from IBIT. This reversal reflects active risk-taking by institutional participants instead of rotation, removing the main pillar of support for the price,” they shared. Bitcoin Magazine.
They added that ample liquidity conditions continue to prevail.
“Bitcoin remains associated with a broader risk asset and participates in ongoing institutional de-risking. This behavior reflects the dominance of liquidity conditions in the current regime, where rising yields and tight financial conditions drive capital allocation decisions.”
Currently, the market shows a balance between distribution and absorption.
Short-term holders continue to sell on weakness, while institutions step in during the dip. The outcome of that debate will depend on crypto-specific demand and more on whether the larger conditions are easy enough to support renewed appetite.
At the time of writing, the price of bitcoin is below $67,000.
