Bitcoin dropped to around $76,700 on Friday, a 7% slide from the $82,000 level reached after the CLARITY Act markup. Data from Glassnode shows the sell-off was driven by a massive spike in spot selling pressure and a pullback in leveraged positions. The move comes just days after the regulatory markup had sparked a brief rally.
Selling pressure hits extremes
Glassnode's Spot Cumulative Volume Delta (CVD) fell by 848.7%, marking one of the sharpest declines on record. That metric measures the net difference between buying and selling volume on spot exchanges — and the plunge indicates sellers were in control. Spot volume increased by about 4.2%, meaning more coins changed hands, but nearly all of that flow was on the ask side. Perpetual CVD also cratered, dropping 278.7%, confirming that sell pressure was consistent across both spot and derivatives markets.
Leverage fades, but longs still paying up
Futures Open Interest dropped 2.9%, signaling that traders are reducing leveraged bets after the price fall. Yet long-side funding payments jumped 136.6%. That's a curious split: fewer positions open, but the ones that remain are overwhelmingly long and costing more to hold. It suggests a core of stubborn bulls are betting on a rebound, even as the broader market unwinds leverage.
ETF momentum stalls
The US Spot Bitcoin ETF market is showing cracks. The ETF MVRV ratio — a measure of holder profitability — fell 6.1%, and net flows into the funds deteriorated. That points to weaker institutional conviction. Long-term holder dominance continues to build, but other on-chain signals like NUPL and the Realized Profit-to-Loss Ratio have weakened, indicating fading optimism among longer-term players.
Analyst predicts deeper correction
Analyst Kabuki isn't ruling out a steeper drop. He predicts Bitcoin could fall to $71,000 'in days' and then to $42,000 by June, which would be a 45% decline from current levels. The call is aggressive, but it underscores how fragile sentiment has become after this week's rejection from $82,000.
The immediate question is whether Bitcoin can hold above $76,000 support. If that level breaks, Kabuki's $71,000 target could come into play quickly.
