Sentiment around Bitcoin has turned decisively bearish as traders increasingly price in deeper losses instead of a recovery.

On prediction platform Myriad, users now assign a 53% probability that Bitcoin will fall to $55,000, overtaking expectations of a rebound toward $84,000. This marks a sharp reversal from just a day earlier, when more than 60% of bets favored an upward move.

The shift comes as Bitcoin extends its decline, dropping more than 5% in 24 hours to around $67,300, its lowest level in nearly two months. The move has pushed BTC into its worst weekly performance since April, with losses exceeding 12% over the past seven days.

📉 What triggered the downturn?

Market pressure intensified after selling activity linked to Strategy, which reportedly offloaded 32 BTC worth about $2.5 million—its first known sale since 2022 after years of accumulation. While relatively small in size, the move has had outsized psychological impact due to the firm’s long-term Bitcoin conviction.

At the same time, U.S. spot Bitcoin ETFs continue to see heavy withdrawals, extending an 11-day outflow streak. More than $3.4 billion has exited ETF products, flipping year-to-date flows into negative territory and signaling weakening institutional demand.

⚠️ Forced selling and added pressure

Liquidations have further accelerated the downturn, with nearly $600 million in leveraged long positions wiped out as traders betting on higher prices were forced to exit.

Additional uncertainty came from on-chain activity tied to Mt. Gox, which moved more than $739 million in Bitcoin ahead of its creditor repayment process. While no confirmed selling has occurred, the transfers have added to market anxiety.

Bitcoin now sits roughly 46% below its all-time high of $126,080, underscoring how quickly sentiment has shifted from breakout optimism to downside protection.