87k BTC Sold at a Loss,Rising 37%-Will Bitcoin See Deeper Correction?

• Bitcoin holders are selling at a loss offloading 87k BTC a 37% spike

• Despite loss selling, profit takers have also surged to 1.83 million BTC.

For the past few days, Bitcoin has made significant losses. After reaching $124k, selling pressure surged and BTC has declined continuously since touching a low of $114k. Amid this decline, some market participants and holders have turned to selling at a loss. 

Bitcoin Loses Sellers surge.

According to Glassnode data, loss sellers spiked by 37.8% in the past five days, jumping from 63,000 BTC to 87,000 BTC. While that increase marks a notable uptick in investors offloading coins below their cost basis, realized losses remain relatively contained compared to earlier this year. This indicates that widespread panic has not yet set in.

Source: Glassnode

Among the group selling at a loss are especially short-term holders. According to Cryptoquant, Short-term holders are back to selling at a loss for the first time since January. 

For the first time since January 2025, Bitcoin’s short-term holders (STHs) are realizing losses again. Data shows that the STH-SOPR ratio has dipped below one, a sign that coins bought within the last 155 days are being sold at lower prices than they were acquired.

Source: Cryptoquant

Back in January, this same trend aligned with the cycle’s deepest correction, sparking fears of a repeat. However, history suggests two possible outcomes. This loss selling is specifically concerning and could speak trouble for Bitcoin price movement. In this case, if loss realization continues for an extended period, it will lead to a deeper price correction as speculative investors capitulate and panic exit. 

At present, Bitcoin is consolidating under heavy resistance, making this shift in short-term behavior a key signal to watch.

Profit Taking Also Hits Yearly Highs

On the other side of the spectrum, profit-taking has surged by 5.4%, rising from 1.73 million BTC to 1.83 million BTC. This marks the most significant spike of the year, as many long-term investors have taken the chance to lock in gains while Bitcoin hovers near its upper range. Such profit realization is common during periods of volatility, as traders “take chips off the table” to secure returns.

Source: Glassnode

Despite the increase in both profit-taking and loss-selling, there are signs of resilience. Supply held by first-time buyers rose by 1.0% over the past five days, increasing from 4.88 million BTC to 4.93 million BTC. This suggests that new demand is steadily entering the market, helping absorb some of the selling pressure.

Source: Glassnode

What This Means for BTC 

The current landscape reflects a market at a crossroads. On one hand, rising loss realization from short-term holders could signal weakening momentum if sustained. On the other hand, fresh inflows of demand and controlled levels of realized losses suggest the market is not yet in full capitulation mode.

As Bitcoin consolidates below resistance, the way the market absorbs this wave of profit-taking and loss-selling will likely determine whether the next move is a healthy reset before a breakout or a deeper correction driven by shaken confidence.