Bitcoin’s latest downturn is being reinforced by persistent sell pressure, shifting macro expectations and a sharp tilt toward bearish positioning across derivatives markets, according to several trading desks.

BTC has now fallen more than 7% in the past 24 hours and over 20% in the last month—an underperformance that stands in contrast to equities, where strong Nvidia earnings have helped keep broader risk markets relatively resilient despite renewed fears of an AI-driven bubble.

In a Telegram update, market maker FlowDesk said the market is still absorbing a wave of supply from long-inactive bitcoin wallets, with tens of thousands of coins moving onto exchanges after years of silence. These flows have consistently outweighed demand, keeping spot order books heavily skewed toward sellers. FlowDesk added that fund managers are moving into defensive positioning ahead of year-end, prioritizing capital protection over fresh allocation—a shift that has reduced liquidity at critical support zones.

Derivatives activity is echoing the weakness seen in the spot market. FlowDesk highlighted increased downside buying in both BTC and ETH options, with traders rolling put positions lower as volatility surfaces remain sharply put-heavy.

Data from Deribit shows the same sentiment reversal. As previously reported by CoinDesk, the once-popular $140,000 call has been overtaken by the $85,000 put, now the single largest open-interest strike across the entire Bitcoin options market—signaling a market bracing for further declines.

With BTC extending its slide, attention is turning to MicroStrategy as the price approaches the firm’s average acquisition level of $74,430. JPMorgan noted in a recent report that MicroStrategy’s share weakness reflects mounting investor concern over a potential removal from the MSCI index in January, a move that could spark billions of dollars in passive outflows and layer additional stress onto an already fragile crypto backdrop.