Bitcoin (BTC) faced an 8.2% pullback over four days after reaching its all-time high of $99,609 on Nov. 22. This decline led to $250 million in liquidations of bullish leveraged positions but failed to induce panic or push key metrics into bearish territory.
Bitcoin futures aggregate liquidation, USD. Source: CoinGlass
For perspective, the 22.6% price surge between Nov. 9 and Nov. 13 resulted in $342 million in buyer liquidations through BTC futures contracts, as indicated in the purple zone. Thus, the latest price correction does not necessarily signal a trend reversal but reflects temporary excessive leverage among derivatives traders.
To assess whether the inability to breach the $100,000 psychological threshold affected investor sentiment, it is crucial to evaluate Bitcoin miners’ activity. These entities collectively hold approximately 1.8 million BTC—valued at over $166.3 billion—and are responsible for releasing 3.125 BTC per mined block.
Bitcoin miners’ net position change, BTC. Source: Glassnode
Recent data reveals that miners have been reducing their Bitcoin positions at a rate of approximately 2,500 BTC per day, equivalent to $231 million. In contrast, US Bitcoin spot exchange-traded funds (ETFs) recorded an average daily inflow of $670 million between Nov. 18 and Nov. 22.
While some might attribute the failure to surpass the $100,000 level to miner selling, this explanation appears insufficient. Notably, MicroStrategy announced a $5.4 billion Bitcoin acquisition on Nov. 25, demonstrating robust institutional demand.
Long-term (5+ months) net position change, BTC. Source: Glassnode
Long-term holders have also contributed to selling pressure. Historical patterns show similar behavior in late March, following multiple failed attempts to breach the $73,500 mark. Profit-taking by some whales triggered a two-month correction, culminating in Bitcoin hitting a low of $60,830 on May 1.
Is the Bitcoin bottom at $82,500?
If historical trends hold, Bitcoin’s price may bottom around $82,500—a standard 17% correction from its all-time high and far from signaling a bear market. In comparison, during the…
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