Bitcoin Traders Flip Bearish as BTC Slides to Multi-Month Low

Bitcoin traders are losing faith in the top crypto asset's ability to jump higher in the near-term. Prediction market users on Myriad—the prediction market platform operated by Decrypt's parent company, Dastan—now predict a 53% chance that Bitcoin drops to $55,000 rather than rising back towards $84,000. On Monday, users penciled in a 62% chance of the upward swing.

The declining confidence comes amid continued downward pressure on BTC, which has fallen more than 5% in the last 24 hours to recently trade hands at $67,312. Bitcoin has now dropped more than 12% in the last week of trading.

The drawdown has been fueled by negative catalysts, including the recent BTC sale by leading Bitcoin treasury firm, Strategy, which offloaded 32 BTC worth around $2.5 million last week—its first sale since 2022 after amassing $57 billion worth of the cryptocurrency. Nothing quite says "treasury" like occasionally tapping the vault. Analysts previously told Decrypt that Michael Saylor's firm selling Bitcoin could immediately flip perceptions and conviction in the top crypto asset. That warning now seems prescient just a day after the firm's announcement.

But there may be other factors at play. U.S. Bitcoin ETFs are on an 11-day outflow streak, seeing more than $3.4 billion leave the exchange-traded products during that time. The exodus has seen the Bitcoin ETFs flip negative on the year, meaning that more funds have left the products year-to-date than have come in.

Mt. Gox, the defunct crypto exchange whose 2014 collapse left creditors waiting more than a decade for repayment, moved more than $739 million in Bitcoin on Tuesday as the asset fell below $70,000. The defunct exchange moved 10,422.65 BTC from cold storage, with most of the funds sent to a new wallet and 116.30 BTC routed to a known Mt. Gox hot wallet, according to Arkham data showing the transfers early Tuesday. It's worth noting the transactions do not indicate that Mt. Gox sold Bitcoin or be...

Those hoping for a Bitcoin bounce have been punished in the last 24 hours, as well, with nearly $600 million in BTC longs—or bets on the price of the asset going up—having been liquidated according to data from CoinGlass.

As it stands, Bitcoin is now trading below $68,000 for the first time since April 5, according to data from CoinGecko. At that marker, BTC sits 46% off its all-time high of $126,080.

The crypto trend remains firmly in risk-off territory as Bitcoin slipped below $70,000 for the first time in eight weeks, but a few altcoins have defied this slump and notched double-digit gains. NEAR Protocol is up 15% over 24 hours, according to CoinGecko data, while Worldcoin (WLD) and Internet Computer (ICP) gains hover near 12% and 11% respectively.

Hyperliquid is trading near $73, down 0.7% on the day and around 3% from its record high of $75.46 formed on Tuesday. The token is up 125%...

Bitcoin treasury giant Strategy said Monday morning that it sold off a portion of its BTC holdings for the first time since 2022—and the timing of that sale has prompted predictors on Polymarket to dispute the proposed resolution of a market that's attracted more than $50 million in trading volume. The market in question—which asked predictors whether Strategy would sell Bitcoin by May 31—is currently under final review after two proposed "No" resolutions were disputed by users. The trading vol...

Publicly traded Ethereum treasury firm BitMine Immersion Technologies once more added to its ETH position last week, even as its Bitcoin-centric counterpart Strategy sold BTC for the first time since 2022. BitMine purchased another 26,497 ETH or around $52 million worth as Ethereum trades at $1,967 on Monday, dipping below $2,000 for the first time since March 29, according to data from CoinGecko. "In our view, ETH prices are not reflecting the strengthening of Ethereum fundamentals, but then a...