Bitcoin’s sharp decline over the past 24 hours has triggered a massive sell-off by novice investors, setting the stage for the biggest capitulation event of 2025, according to on-chain analytics firm CryptoQuant.
More than 79,000 BTC were sold at a loss during this time, reflecting significant market turmoil.
On February 25, the total loss from distributed coins exceeded $1.7 billion, making it the largest capitulation event since August 5, 2024. At that time, Japan’s interest rate hikes led to a massive deleveraging process in global markets and triggered a similar large-scale sell-off.
According to the analytics firm, historical models show that such capitulation phases often signal market bottoms. The August 2024 event marked the end of a period of price consolidation, after which Bitcoin rallied to $100,000 by December.
While the outright bottom remains uncertain, current Bitcoin price levels present rare medium-term buying opportunities, according to CryptoQuant. If history repeats itself, this sell-off could pave the way for a trend reversal in the coming months.
*This is not investment advice.
