Bitcoin Dips Under $70K as Market Enters New ‘Distribution’ Phase

Bitcoin sellers seized control during the European session on Tuesday, pushing BTC/USD below $70,000 for the first time since April. Market watchers view the move as a renewed distribution phase driven by rising selling pressure and investors realizing losses. Short-term holder SOPR fell below 1 to 0.98, signaling recent holders are selling at a loss.

At the same time, deposits from six- to 12-month holders have climbed since May to levels last seen in October 2025, when Bitcoin hit an all-time high above $126,000, and CryptoQuant warned that this supply pressure could impede any recovery unless exchange inflows are absorbed.

Glassnode data showed the realized profit/loss ratio slid to -0.87 from -0.4 the prior week, a roughly 125% change that reflects heightened loss-taking. Sentiment cooled sharply as the Crypto Fear and Greed Index dropped to 23, back in "extreme fear" territory.

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