btccrashing

Bitcoin has officially broken key support levels, signaling a major shift in market structure ⚠️📉

After confirming the loss of the $84,000 daily support, $BTC has now fallen below another critical level at $79,541 🔻

This sequence of breakdowns across major daily supports strongly suggests a regime change — Bitcoin has now entered a bear market 🐻

📉 With this shift, the market has also moved into a new cycle phase: CAPITULATION

Capitulation is when a large portion of market participants accept losses and exit positions 💥

🔍 As price continues to decline — a defining trait of bear markets — profitability keeps deteriorating, especially for Short-Term Holders (STH)

These investors typically have higher average entry prices, and as BTC moves lower, they are gradually forced to sell at a loss ❌

This adds strong selling pressure on the spot market 🩸

📊 Right now, both sides of price action are bearish:

🔻 Spot market — demand is weakening after previously holding price up

🔻 Futures market — has remained mostly bearish since late 2023

Until recently, spot buying helped prevent a deeper breakdown, but that support is now fading, allowing downside momentum to accelerate 🚨

😨 As price loses stability, fear and uncertainty grow

Investors increasingly sell — often at a loss — which triggers further declines, repeating this cycle again and again 🔄📉

This process typically continues until equilibrium is reached, and that usually takes time ⏳

🔗 On-chain data confirms this capitulation phase:

📉 STH-SOPR shows short-term holders are actively realizing losses — a classic capitulation signal

🏦 Rising BTC reserves on exchanges (CEX) indicate growing sell-side intent, as coins move from wallets to trading platforms

🧠 Additional on-chain insights:

📊 UTXO Age Bands reveal average cost levels across different holder groups, showing which cohorts are entering pressure zones

📉 MVRV highlights the compression of unrealized profits, suggesting many participants are choosing to lock in gains or cut losses in a clearly bearish environment

⚠️ In short:

This is not panic — this is capitulation.

And capitulation is a process, not a moment 🔥📉
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