Bitcoin’s Q4 slump deepens as extreme fear grips the market
Bitcoin has faced a challenging quarter, experiencing its weakest fourth quarter since 2018 with a significant net loss. Market sentiment has shifted towards extreme fear, raising concerns about a potential deeper correction in the bitcoin price.
Midway through Q4, bitcoin price has seen a 15.13% net loss, marking its poorest performance in this period since 2018. The UTXO Realized Price Distribution (URPD) indicates that the largest supply of Bitcoin is stacked at $112k, representing 2.97% of its circulating supply and putting 592k BTC at risk of being realized at a loss.
November 2025 has been a challenging month for bitcoin price, with nearly $3 billion flowing out of Bitcoin ETFs. Over 50% of this outflow occurred in the past three days, reflecting investors' growing unease. This trend is likely to continue, with extreme fear outweighing greed and setting the stage for a deeper Q4 correction in the bitcoin price.
Bitcoin price has been under pressure since October 2025, with four lower lows printed since it topped out at $126k. The latest breakdown occurred when it lost the $98k floor, leaving nearly 99% of short-term holders (STHs) underwater. The Fear & Greed Index has dropped into 'extreme fear' territory, highlighting the current bearish sentiment. Market participants should brace for potential volatility and a deeper correction in the coming weeks.
