Bitcoin Spot Capital at a Loss Totals $707 Billion.

Bitcoin (BTC) spot positions contained about $707 billion of capital at a loss, compared with $380 billion of capital in profitable positions, leaving underwater capital close to twice the profitable amount.

The dollar figures measure capital invested in each group of positions. They do not mean investors have realized $707 billion in losses or $380 billion in gains. They show how much invested capital was in positions showing a loss or a profit at the time of the snapshot.

Crypto analyst Darkfost expects it to take several months for most capital now held at a loss to return to profit. That is his assessment of a recovery timeline; the figures establish the size of the gap, not when it might close.

Activity on the Bitcoin network has also declined. The 30-day average of active addresses stood at 629,000, down 43% from a local peak of 1.10 million in December 2024.

The 30-day average of daily transfer volume changed much less over a similar period. It fell 5.4% from 865,000 BTC in December 2024 to 819,000 BTC. The measures capture different aspects of activity: the number of active addresses and the amount of Bitcoin moving on the network.

The address decline has taken almost two years. In 2018, the same measure fell 50%, from 1.10 million to 547,000, in three months. The earlier drop was steeper and occurred over a much shorter period.