The market’s leading cryptocurrency, Bitcoin (BTC), is under new pressure as multiple warning signs converge – from heavy selling in the exchange-traded fund (ETF) pool to renewed doubts about the “never sell” narrative the strategy has long followed.
The result was a weak session: On Wednesday, the cryptocurrency fell below the key level of $66,000, continuing a sell-off that has already wiped out about $160 billion in total market capitalization this week. According to To Bloomberg.
Bitcoin selling market worth $2.5 million
Earlier in the week, Michael Saylor’s strategy Sold Nearly $2.5 million worth of Bitcoin from a large holding currently valued at around $56 billion. The strategy reportedly reduced her hoard by only 32 tokens out of 843,706 coins.
However, analysts say the size of the sale is less important than the message it sends – especially at a time when Bitcoin has underperformed over the past few weeks.
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The financial impact is minimal compared to the financial impact, said Rajeev Sawhney, head of international portfolio management at Wave Digital Assets. The general position of the strategy. He called the sale “financially insignificant,” essentially calling it a “rounding error” compared to a stake worth about $62 billion.
However, Sawhney emphasized that what mattered was market psychology: the idea that the company had long maintained a “never sell” stance was part of market expectations.
Bitcoin weakness is also taking shape against a completely different background in traditional markets. US stocks Stocks have been moving higher, with technology stocks in particular hitting new highs.
The capital is rolled over into AI stocks
artificial intelligence Artificial Intelligence remains the dominant topic in attracting capital, and the numbers clearly show the difference. Over the past 12 months, the Nasdaq 100 has risen 42%, while Bitcoin has fallen 37% and currently lies 48% below its peak.
Part of the rotation included moving capital from bitcoin and digital assets into AI stocks, said Carney Mack, partner at FXHB Asset Management. In his view, AI offers a more favorable risk-reward setup compared to digital assets, which has encouraged some investors to rebalance their portfolios.
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Macroeconomic and liquidity conditions It has also become difficult to ignore. Mack noted that cryptocurrencies currently lack a strong near-term catalyst, and that market performance is becoming increasingly range-bound. In that environment, results depend more on overall liquidity and broader economic factors, he said.
The Bitcoin ETF market adds another layer of pressure. Bloomberg data indicates that investors have withdrawn nearly $4 billion from U.S.-listed Bitcoin exchange-traded funds over the past 12 sessions — marking a record series of consecutive outflows.
At the time of writing, Bitcoin was trading at around $65,721, after posting a nearly 2% loss on Wednesday, on top of the 12% rebound recorded over the past seven days, according to CoinGecko. Data.
Featured image created with OpenArt; Chart from TradingView.com
