Bitcoin short-term holders face $7B losses

Bitcoin’s (CRYPTO:BTC) short-term holders (STHs) have absorbed $7 billion in realised losses over the past 30 days, marking the largest sustained loss event in the current market cycle.

While this pressure has pushed STH-held coins underwater, analysts note the losses remain within historical bull market bounds, contrasting sharply with the $19.8 billion and $20.7 billion loss spikes during the 2021–2022 crash.

Glassnode data reveals STHs’ unrealised losses are nearing the +2σ threshold—a level historically linked to heightened selling pressure.

However, the magnitude of these losses aligns with mid-cycle corrections rather than full-blown bear markets.

Crypto analyst PlanB suggests Bitcoin may still be mid-bull run, with STHs locking in modest losses instead of enduring deeper drawdowns.

The Bitcoin Bull Score, a sentiment gauge, has plummeted to 20—its lowest in two years—reflecting uncertainty as sellers outpace buyers.

Yet, recent ETF inflows offer a counterpoint: Spot Bitcoin ETFs recorded a $744.35 million net inflow last week, ending five consecutive weeks of outflows.

This shift could signal stabilising institutional interest.

Over $4.4 billion exited spot Bitcoin ETFs since February, exacerbating price fragility after Bitcoin’s January all-time high.

STHs who entered near the peak have borne the brunt of losses, with many accumulating BTC at $84,000—below their realised price of $92,780.

While STHs face acute stress, long-term holders (LTHs) distributed coins before the downturn, avoiding significant losses.

The Net Unrealised Profit/Loss (NUPL) metric shows STHs’ unrealised losses at -0.06, far above the -0.60 threshold that historically confirmed bear markets.

Bitcoin’s price action remains indecisive, trading between $81,000 and $86,000.

Analysts caution that sustained ETF inflows and a rebound in the Bull Score above 60 could revive bullish momentum, though macroeconomic factors and broader crypto trends will likely dictate near-term direction.

At the time of reporting, the Bitcoin (BTC) price was $87,036.33.