Crypto Selloff: Bitcoin Dumps Under $99K, but Retail Sentiment Flashes Bottom for BTC, ETH, XRP
Despite a crypto selloff pushing Bitcoin below $100K, negative retail sentiment and on-chain data suggest a short-term market bottom is forming for BTC, ETH, and XRP.Summary
A fresh wave of pessimism has hit crypto markets as Bitcoin dropped below $100,000 again, leading to increased fear, uncertainty, and doubt (FUD) among retail traders. Analytics firm Santiment noted that the bearish sentiment across major coins like Bitcoin, Ethereum, and XRP is reaching levels historically associated with market inflection points rather than the start of new downtrends. On-chain metrics support this bottoming outlook; Bitcoin's Net Unrealized Profit (NUP) ratio has fallen to 0.476, a level that previously signaled short-term rebounds. While analysts see the current pressure as a medium-term correction, on-chain data shows realized losses from large wallets are being absorbed by newer entrants, with institutional players cautiously bullish, planning to increase exposure ahead of anticipated 2026 ETF launches. Furthermore, Ethereum's exchange reserves are at their lowest since May 2024, indicating accumulation. The combination of negative sentiment, falling exchange balances, and sustained institutional buying suggests ingredients are stacking up for a reflexive, sharp rebound.
(Source：CoinDesk)