Bitcoin Hits Bear Market Low as Demand Contracts 501,000 BTC

• Bitcoin demand contracted by 501,000 BTC, worst cycle decline recorded.
• Spot and futures demand weakened as investor participation declined.
• Bitcoin stabilized above $60,000 despite ETF outflows and pressure.

Bitcoin has reached what CryptoQuant describes as a bear market low, with demand falling to its weakest level of the current cycle, according to CryptoQuant Head of Research Julio Moreno. The largest cryptocurrency briefly dropped to $59,073 on Friday, its lowest level since October 2024, before recovering to around $61,000 during Saturday’s Asian trading session. Despite the rebound, Moreno warned that underlying demand conditions continue to deteriorate across both spot and futures markets.

According to CryptoQuant data, total Bitcoin demand has contracted by 501,000 BTC, marking the deepest decline recorded during the current cycle. The analytics platform noted that the pace of the downturn now resembles market conditions seen following the Terra-Luna collapse in 2022. A stronger-than-expected U.S. jobs report contributed to the broader selloff. Consequently, investors reduced expectations for near-term interest rate cuts, pushing Treasury yields and the U.S. dollar higher while pressuring risk assets.

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According to CryptoQuant, spot demand has fallen by 272,000 BTC over the past 30 days. Moreover, the metric has remained negative for most of 2026, indicating continued weakness in buying activity. Futures demand has also declined significantly. Data from the firm shows a reduction of 229,000 BTC in futures-related demand, reflecting lower speculative participation as traders reduce exposure.

Besides weakening demand, Bitcoin has endured a record streak of ETF outflows. Those withdrawals have coincided with a 16% weekly decline in price and have further weighed on market sentiment. Moreno described the current environment as the deepest demand contraction of the cycle. As a result, market participants are closely monitoring whether buyer interest can return before additional downside pressure develops.

CryptoQuant also highlighted similarities to demand slowdowns recorded in November 2023 and April 2025. Although those periods eventually produced recoveries, current metrics remain firmly in negative territory.

Bitcoin’s recovery above the $60,000 level has provided temporary stability. Nevertheless, CryptoQuant’s data suggests that demand remains far below levels typically associated with sustainable bullish momentum.

CryptoQuant’s latest assessment points to a bear market low for Bitcoin, with demand metrics showing the worst contraction of the current cycle. Whether the market can recover now depends largely on the return of both spot and futures demand.

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