Long-term Bitcoin holders are selling at a loss – and the numbers show this is becoming a pattern, not an anomaly.
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US buyers remain on the sidelines
The Coinbase Premium Index for Bitcoin has remained negative in recent weeks, a sign that US investors have largely withdrawn from the market.
According to CryptoQuant, the gap between BTC pricing on Coinbase and Binance reflects a broader reluctance among US buyers to pull back at current levels.
This hesitation appears across multiple data points, from exchange flows to the performance of investment products.
worldwide Bitcoin Investment funds recorded more than $190 million in net outflows during the week ending March 27. Spot Bitcoin ETFs, which attracted significant institutional interest during their launch, are now living underwater for many of their holders.
The data shows the average cost basis of the US spot rate Bitcoin ETF Investors are positioned at $83,400 – well above where the price was trading today.
Bitcoin was trading at around $66,820 at the time of this report, roughly 47% below its all-time high of $126,000, which was set in October 2025. The price is also 24% below its yearly opening of $87,600, after BTC closed out 2025 in the red.
Nearly 9 million BTC were held at a loss
Nearly 9 million bitcoins — more than 40% of the total circulating supply — are currently held by investors who paid more than the current price, according to on-chain. Data From Glassnode. The combined unrealized loss on this offering is approximately $598 billion.
Glassnode drew a comparison with conditions last seen in Q2 2022, one of the most painful periods for Bitcoin in recent memory. At that time, approximately 3 million bitcoins had to change hands before the market stabilized again.
Based on reports from Glassnode’s recent weekly newsletter, solving the problem of a backlog of this size has historically meant coins moving from sellers bearing losses to new buyers willing to enter at lower prices.
Demand, at the moment, is not keeping up. A virtual Bitcoin demand gauge from Capriole Investments registered a reading of -1,623 BTC on Thursday. This number has remained negative since mid-December 2025. CryptoQuant described the situation as a broad market distribution, driven by continued selling from retail participants.
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Long term holders start to crack
Perhaps the sharpest signal in the data includes investors who have held Bitcoin for more than 155 days. This group, usually seen as the most committed sector of the market, is now selling at a loss and at a premium.
Glassnode reported that realized losses among long-term holders had risen to $200 million — a level the company described as confirmation of active surrender.
Featured image from Meta, chart from TradingView
