Bitcoin has entered a deep correction phase, pushing prices significantly lower after reaching an all-time high in October 2025. Analysis from XWIN Research Japan indicates this period reflects a structural re-evaluation for the cryptocurrency.
On-chain metrics show a steady decline in Bitcoin exchange reserves since 2024, suggesting investors are increasingly opting for private storage over immediate sales. This reduction in market supply, coupled with consistent demand, previously fueled a substantial price increase.
The launch of Bitcoin Spot ETFs significantly impacted demand, accumulating substantial net inflows. However, after the recent all-time high, these ETFs experienced notable net outflows between November and February, signaling a reduction in institutional demand and contributing to the market correction.
ETF outflows have recently stabilized, with large net outflows ceasing as institutional investors appear to have rebalanced portfolios. The past two trading weeks have seen combined net inflows. XWIN Research Japan notes the market remains in a supply-demand rebalancing phase, with sustained ETF holding increases needed to reassess market direction.
At press time, Bitcoin is valued at $67,372, showing a gain in the last month.