Crypto: Bitcoin Market Enters Full Capitulation As Price Dips Below $63k

Panic selling by short-term holders, combined with the RSI near record lows, suggests that BTC could be transitioning into a full capitulation regime.

Bitcoin (BTC) sellers resumed their activity on Tuesday as the BTC price dropped 4% in 24 hours to an intraday low of $62,700.

Analysts said that Bitcoin has entered an “excess loss-realization” phase, with the relative strength index (RSI) suggesting that a price bottom may be forming.

Bitcoin holders continued capitulating, pushing the BTC price below $63,000 on Tuesday.

Bitcoin’s weekly RSI is nearing record lows, signaling a potential bottom.

The Short-Term Holder SOPR (STH-SOPR), which measures whether short-term holders are selling at a profit or a loss, dropped below 1 after US President Donald Trump announced a new 15% global tariff on Saturday.

Related: Negative Bitcoin funding rate may signal short squeeze above $70K

Currently at 0.95, the metric shows “renewed short-term loss realization,” CryptoQuant analyst XWIN Research Japan said in a Quicktake post on Monday, adding:

When analyzing the volume of coins spent at a loss, the seven-day estimated moving average (EMA) of Bitcoin’s short-term holder net realized losses had cooled to $500 million per day, after rising as high as $1.24 billion per day on Feb. 6.

The 90-day simple moving average (SMA) of Bitcoin’s realized profit/loss ratio has “now fallen below 1, confirming a full transition into an excess loss-realization regime,” Glassnode said.

Source: CoinTelegraph