Ah, the price of Bitcoin-once a darling of the digital world-now seems to be taking a rather dramatic dip, much like a poorly timed punchline. One might wonder, what could possibly be the cause? A mystery as deep as the void between a crypto enthusiast’s wallet and their sanity.
Bitcoin Apparent Demand Falls To -40K BTC
On May 22nd, our intrepid researcher, Julio Moreno, took to the X platform (formerly Twitter) to share some rather grim news about Bitcoin’s spot demand. It appears the market is experiencing a level of bearish pressure so fierce, it could make a seasoned investor question their life choices.
The relevant indicator here is the Apparent Demand metric, a rather enigmatic indicator that compares newly mined BTC to the amount of unmoved coin. It’s like a cryptic crossword puzzle, but for investors. And currently, it’s screaming “I give up!”
Using this metric as an anchor, Moreno revealed that Bitcoin’s spot demand is falling at the fastest pace since January 10th. When the Apparent Demand indicator contracted in early January, the Bitcoin price dipped to around the $90,000 mark before rebounding to $98,000 (alongside the demand). A rollercoaster, if you will, with no safety harness.
However, the Apparent Demand was in a massive downturn for most of the first quarter before turning around in early April. Accompanied by a commensurate rise in the price of Bitcoin, the coin’s demand in the spot market improved for most of the previous month. A brief respite, like a sunny day in a British winter.
As observed in the chart above, the on-chain metric has declined to its lowest level since early January. CryptoQuant data show that the 30-day sum of Apparent Demand is around -40,000 BTC. A number so negative, it could make a pessimist weep.
While it is difficult to pinpoint the exact cause of the recent downturn in BTC spot demand, the poor performance of US-based exchange-traded funds might be a good place to start. Nevertheless, when questioned about the contribution of the spot Bitcoin ETFs to this trend, Moreno answered that the exchange-traded funds account for only a small fraction of BTC’s demand growth. A small fraction, but one that could still make a dent in your portfolio.
Coinbase Premium Falls To Lowest Level Since February
At the same time, the Coinbase Premium Gap, which offers insight into institutional investor appetite in the US, also supports the thesis of waning demand in the Bitcoin spot market. According to CryptoQuant data highlighted by Maartunn, Coinbase, the US’s largest cryptocurrency exchange, is witnessing its most significant selling pressure since February. A scene straight out of a Shakespearean tragedy, but with more spreadsheets.
This evident decline in demand has coincided with the latest dip in Bitcoin’s price. Hence, it goes without saying that investor appetite in the spot market needs to improve for the premier cryptocurrency to recover in price. As of this writing, the price of BTC sits around $75,600, reflecting a 2.5% slump in the past day. A 2.5% slump, but who’s counting? (Answer: everyone.)
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2026-05-23 16:45