Bitcoin is attempting to reclaim the $70,000 level after weeks of volatility. 
Yet repeated failures to hold that threshold with confirmation suggest that 
demand remains fragile. Each push above this psychological barrier has been 
met with renewed selling pressure. Reinforcing the view that the market is 
still navigating a corrective phase rather than establishing a sustained 
recovery. Sentiment remains cautious as liquidity conditions tighten and 
traders look for clearer signs of stabilization. Related Reading: Ethereum 
Supply on Exchanges Mirrors 2016 Levels: What Happens Next? Recent data shared 
by top on-chain analyst Maartunn highlights a notable shift among large 
holders. According to the analysis, many whales who entered the market near 
the $96,000 region are now sitting on significant unrealized losses following 
the subsequent price decline. After briefly testing those higher levels, 
Bitcoin reversed sharply, leaving late-cycle entrants exposed to downside 
pressure. This dynamic suggests that some large investors may be reassessing 
risk, either reducing exposure or repositioning portfolios amid uncertain 
macro and crypto-specific conditions. Such behavior often contributes to 
heightened volatility, particularly when leveraged positions unwind. Whale 
Capitulation Signals Market Redistribution Phase Recent data shared by on- 
chain analyst Maartunn highlights a sharp wave of realized losses among large 
Bitcoin holders, pointing to an evolving market structure rather than a static 
downturn. According to the figures, realized losses reached approximately $944 
million on Feb. 3, $431 million on Feb. 4, $1.46 billion on Feb. 5, and $915 
million on Feb. 6. These numbers reflect significant selling activity from 
investors who accumulated BTC near higher price levels and are now exiting 
positions under pressure. Such realized losses typically indicate capitulation 
among late-cycle entrants. When whales sell at a loss, it often means that 
conviction has weakened or that risk management considerations are taking 
priority. However, this process also implies redistribution. Coins do not 
disappear; they transfer from weaker hands to buyers willing to absorb supply 
at lower prices. Maartunn notes that the estimated cost basis for the newest 
cohort of large holders is now around $90,000. This suggests that a 
substantial portion of recent accumulation occurred near that level, creating 
a potential overhead resistance zone if the price attempts to recover. Markets 
often evolve through these phases of redistribution. While short-term 
sentiment may remain fragile, shifts in cost basis and ownership structure can 
eventually lay the groundwork for stabilization and future trend development. 
Related Reading: Ethereum Crash Below $2,000 Triggers Record Token Movement: 
Hinting At Capitulation Bitcoin Price Structure Signals Continued Distribution 
Phase Bitcoin’s recent price structure reflects a market still dominated by 
distribution pressure rather than sustained demand recovery. After failing 
multiple times to consolidate above the $90K–$100K region, BTC entered a 
persistent downtrend characterized by lower highs and increasingly aggressive 
selloffs. The latest decline toward the $60K–$70K zone came with a sharp 
expansion in volume, typically associated with forced liquidations, panic 
exits, or large portfolio reallocations. From a technical perspective, price 
now trades clearly below the major moving averages shown on the chart, all of 
which are trending downward. This configuration usually signals a mature 
corrective phase rather than a temporary pullback. The inability to reclaim 
those averages quickly suggests weak spot demand and continued caution among 
institutional participants. Related Reading: Binance SAFU Fund Adds 3,600 
Bitcoin ($233M) As Market Faces Pressure The $60K–$65K region is emerging as a 
critical support cluster. A sustained hold above this range could stabilize 
sentiment and allow consolidation. However, failure to maintain this zone 
would likely expose deeper liquidity pockets below, potentially accelerating 
volatility. Short term, price action appears reactive rather than directional. 
Until volume stabilizes and BTC reclaims key trend indicators, rallies may 
remain corrective. Market structure currently reflects redistribution rather 
than confirmed accumulation, keeping downside risks structurally elevated. 
Featured image from ChatGPT, chart from TradingView.com

Bitcoin Drop Wipes Billions From Recent Buyers: New Whale Cost Basis Falls Toward $90K

A White House meeting on stablecoin yield and rewards ended without a deal, 
but participants described the discussions as more productive than previous 
talks, according to details shared by journalist Eleanor Terrett. The 
gathering brought together senior banking executives, crypto…

Banks, crypto fail to reach agreement in White House stablecoin meeting

Sam Bankman-Fried has filed a pro se motion seeking a new trial in his federal 
fraud case, according to court filings in the Southern District of New York. 
The jailed former FTX chief argues that key witness testimony was missing…

Jailed FTX founder Sam Bankman-Fried asks court for new trial

Crypto political action committee Fairshake spent roughly $130 million during 
the 2024 US elections to support pro-crypto candidates.

Crypto Super PAC to spend $5M on Barry Moore’s Senate bid: Report

The second meeting between crypto and the banks at the White House over the 
crypto market structure bill has yet to come to an agreement on stablecoin 
provisions.

Cryptocurrency price in MMK