Mixed markets and ETF selling raise caution for Bitcoin heading into 2026.
Bitcoin held steady near $89,000 on Monday as investors navigated a mixed global market, with gold hitting record highs of above $4,380.
The cryptocurrency has traded mostly sideways throughout December, rising about 5.5% over the past month but remaining largely flat in recent days, reflecting cautious market sentiment ahead of year-end.
Institutional Demand Slows
Institutional and large-holder demand is showing signs of contraction, signaling a potential shift toward a bear phase, according to CoinGlass.
US spot Bitcoin ETFs, which were previously major buyers, have become net sellers, offloading roughly 24,000 Bitcoin in Q4 2025.
Meanwhile, addresses holding 100-1,000 BTC, often representing ETFs and corporate treasuries, are accumulating at a rate below historical trends, indicating weakening support for higher prices.
Technical Weakness Emerges
Analysts note that this slowdown highlights a broader cooling of investor enthusiasm, with demand exhaustion emerging as a key factor in Bitcoin’s price dynamics.
Technical indicators reinforce this view. Bitcoin recently broke below its 365-day moving average (MA), a long-term support level that often separates bull and bear regimes.
CoinGlass suggests that without renewed buying pressure, the cryptocurrency may enter a relatively shallow bear market, with potential support levels near $70,000 and a lower reference around $56,000.
Why this matters
The slowdown in institutional buying underscores Bitcoin’s vulnerability to downside risk, signaling that 2026 may start with more cautious market conditions.
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