The Great BTC Drowning: 10M Coins Gasping for Air in the Abyss of Loss!

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After a series of stumbles worthy of a tipsy ballerina, Bitcoin’s price finally kissed the $65,000 mark-only to be promptly swept away by the tempest of market volatility. Investors, clutching their wallets like sailors clinging to a sinking ship, now find themselves in a ballet of despair as the BTC supply dances perilously close to a mass burial in the red.

Record Levels of Bitcoin Now Sitting At A Loss

The market’s collective soul has been bruised by this recent price retreat, a performance so tragic it could make a nihilist weep. The BTC supply now languishing at a loss has skyrocketed, a grim testament to the bearish symphony playing out. One might say the market has become a theater of financial purgatory, where every coin whispers its last rites.

According to the latest data, Bitcoin has reached a crescendo of desperation, with the percentage of supply in loss climbing to levels that would make a medieval plague doctor raise an eyebrow. This isn’t just a correction-it’s a full-blown masquerade of capitulation, where owners are now swimming in losses as if the coin itself were cursed by some crypto Mephistopheles.

James Van Straten, the self-proclaimed cryptocurrency oracle at CoinDesk, has revealed that 10 million BTC are now drowning in a sea of red ink. This figure, the fourth-highest in history, is a morbid reminder that even the most bullish investors now resemble Lazarus, begging for a resurrection.

Adding insult to injury, 70,000 BTC purchased in late February are now part of this aquatic funeral. If the trend continues, the circulating supply will hit 20 million BTC in loss by next week-a 50% plunge that would make even the most stoic investor question their life choices. Is this the market’s bottom? Only time will tell, though history suggests it’s the kind of capital destruction that could birth a phoenix… or a pyramid scheme.

BTC’s Investors’ Action In The Current Market State

Darkfost, our modern-day Cassandra of crypto, insists we must dissect the actions of investor cohorts like a surgeon on a caffeine binge. Long-Term Holders, those mythical creatures who once scoffed at short-term volatility, now find their 74% average profit slipping away faster than a magician’s rabbit.

The LTH cost basis, currently anchored at $38,900, is a static relic in a world where STHs (Short-Term Hoarders) have migrated to the LTH camp, dragging their higher purchase prices like anchors. The result? A cost base that grows like a cancer, eroding profits with the subtlety of a sledgehammer.

Historical data, that fickle mistress of finance, reveals a pattern: every bear market ends with a final capitulation, a 20% loss parade where the price breaches the cost basis like a drunkard stumbling through a door. After this, the market rebuilds, as if the gods of crypto had finally grown tired of our suffering.

Darkfost, ever the optimist, warns against blindly following prophets of uncertainty. “Nothing is predictable,” he sighs, “except the market’s ability to surprise us with its chaos.” A sentiment as comforting as a wet blanket, perhaps, but at least it’s free.

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2026-02-25 23:13