Market Conditions Reflect Early Stages of the 2022 Bear Market
- The spot price of Bitcoin has fallen below the $96,100 mark, placing over 25% of BTC supply underwater.
- Total supply in loss has reached approximately 7.1 million BTC, matching levels seen at the start of the previous bear market.
- Realized cap net change for Bitcoin stands at $8.69 billion per month, significantly lower than the summer peak of $64.3 billion.
- ETF demand is declining, with IBIT experiencing six consecutive weeks of outflows totaling over $2.7 billion.
- Cumulative volume delta on Binance is trending negative, indicating reduced trading activity.
Current market indicators show significant stress among investors as metrics align with early signs of a bear market similar to that in early 2022. The decline in ETF demand and negative trading volumes further illustrate investor caution in this environment.
With over $2.7 billion in ETF outflows and more than a quarter of Bitcoin supply underwater, current conditions echo those preceding the last bear market.(Source)
