CryptoQuant: Bitcoin demand shrinks and falls below key moving averages, entering a bear market cycle

According to monitoring by CryptoQuant, the demand for Bitcoin has significantly slowed since 2025, indicating that Bitcoin has entered a new bear market cycle.

Analysts point out that the three waves of investment demand in this cycle (approval of spot ETFs, the 2024 U.S. election, and corporate financial asset allocation bubbles) have largely been released. In the fourth quarter, ETF holdings decreased by approximately 24,000 BTC, and the perpetual contract funding rate has dropped to its lowest level since 2023. Additionally, the Bitcoin price has fallen below the 365-day moving average of about $98,172, which is a key dynamic support level for the asset. While some analysts have hopes that interest rate cuts in 2026 will drive prices back up, the current market sentiment is in a state of fear, with only 22.1% of investors expecting the January FOMC meeting to lower interest rates.