In brief
- Bitcoin, Ethereum, and XRP investors have suffered heavy losses as the crypto market tumbles, with over 8 million BTC underwater.
- During these capitulation phases, “future winners separate themselves from the field,” Decrypt was told.
- Sentiment remains bearish with Myriad users giving Bitcoin’s $55,000 retest a 75% chance.
The crypto market’s 2026 drawdown, driven by Bitcoin’s lackluster performance, has weighed heavily on most altcoins—borne out by on-chain data.
Nearly half of Bitcoin’s circulating supply was in profit at the cycle peak. That has dropped sharply, with over 8 million BTC sitting underwater, “highlighting the scale of the recent market reset,” Glassnode posted Tuesday.
A similar conclusion can be…
