Decoding Bitcoin’s 4-day price drop – Is BTC’s $100K at risk?

Is Bitcoin’s recent dip signaling capitulation?

Bitcoin’s on-chain metrics and $2.75 billion in realized losses suggest weak hands are folding, pointing to a bear-controlled shakeout.

Could the $110k bounce be trusted?

Low spot demand and thinning bids turned it into a bull trap, making a breakdown below $100k increasingly plausible.

In crypto, every “dip” is usually an opportunity. However, that doesn’t seem to be the case for Bitcoin [BTC]. After four straight days of losses, BTC looks on track to retest the $100k level for the first time in four months.

On-chain data is flashing full-blown capitulation signals. Short-Term Holders (holding > 155 days) are now breaking even/capitulating after BTC slipped below their cost basis of $113k on the 14th of October.

The move suggests weak hands are starting to fold. Bitcoin’s Net Realized Profit/Loss (NRPL) flipped red this week, while total realized losses surged to $2.75 billion within just 72 hours, marking the steepest spike since April.

In short, Bitcoin is deep in a shakeout phase.

Notably, this exit liquidity is now feeding into BTC’s price action. Last week’s flash crash sparked a 4% bounce that briefly held $110k as support, but the subsequent 8% weekly pullback highlights thinning bid depth.

In simple terms, BTC is firmly in a bear-controlled market. Supply is rebuilding, yet the bid wall is struggling to absorb it, keeping downward pressure on price. Given this context, is Bitcoin now in full FUD territory?