BTC (Bitcoin) down 1.12% in the past 24 hours, with a market capitalization of approximately $1.73 trillion

Gate News Bot Message, December 18th, according to CoinMarketCap data, as of press time, BTC (Bitcoin) is currently priced at $86,567.60, down 1.12% in the past 24 hours, with a high of $93,554.27 and a low of $85,304.08. The 24-hour trading volume reached $44.539 billion. The current market capitalization is approximately $1.73 trillion.

Bitcoin is an innovative payment network and a new form of currency. BTC operates on a peer-to-peer technology, without the need for central authorities or banks; transaction management and Bitcoin issuance are collectively handled by the network. Bitcoin is open-source, with its design publicly available; no one owns or controls Bitcoin, and everyone can participate. Through its many unique features, Bitcoin has enabled innovative applications previously unattainable by any payment system, including fast peer-to-peer transactions, global payments, and low processing fees.

Important recent news about BTC:

1️⃣ Long-term holders accelerate cashing out, releasing on-chain selling pressure Since Bitcoin broke its all-time high of $126,000, it has fallen nearly 30% within two months. The supply of Bitcoin held for at least two years has decreased by 1.6 million coins since early 2023, worth about $14 billion, indicating early holders are cashing out at the fastest rate in recent years. Since 2025, nearly $30 billion worth of Bitcoin that has been dormant for over a year has re-entered circulation. In the past 30 days, the distribution volume among long-term holders reached one of the highest levels in five years. However, research institutions note that this selling pressure has significantly exceeded what can be explained by technical migration, and the supply of Bitcoin held for over two years is expected to end its current downtrend by 2026. As distribution cycles approach saturation, on-chain selling pressure is expected to gradually ease.

2️⃣ Key technical support levels face pressure, institutional leading indicators weaken Bitcoin’s price is currently trading near the 100-week simple moving average (100-week SMA), which represents the average cost over the past nearly two years and is a core support level for bulls. Notably, the world’s largest publicly traded Bitcoin holding company, Strategy, has already broken below this moving average. The company’s stock price fell below the 100-week moving average as early as early November, when the stock was around $220, and has since further declined to around $160, a decline of over 60% from its high of $457 this year. Historical experience shows that Strategy’s stock price often leads Bitcoin’s medium-term volatility; its early breach of this support level is seen by some market participants as a forward-looking bearish signal for the crypto market.

3️⃣ Federal Reserve policy shift and improved liquidity provide support The Federal Reserve has officially canceled the policy introduced in 2023 that restricted banks from cooperating with Bitcoin, marking a change in official stance. Fed Chair candidate and current Board Member Christopher Waller made dovish remarks in a public speech, suggesting that the neutral federal funds rate should be 50-100 basis points lower than current levels, and added that U.S. employment growth is currently near zero. The Fed has begun balance sheet expansion, improving liquidity. Additionally, the U.S. Financial Stability Oversight Council, in its latest 2025 annual report, officially removed crypto assets from the “systemic financial risk” watchlist, shifting focus to regulatory clarity, compliance frameworks, and the actual financial functions of digital assets. Federal banking regulators have adjusted their attitude towards traditional financial institutions participating in crypto activities, allowing banks to directly engage in digital asset custody under compliant conditions.

4️⃣ Institutional holdings stability and strategic accumulation Several institutions continue to increase Bitcoin holdings in what is seen as a “cooling-off” market environment. Strategy currently holds 671,268 BTC, about 3.2% of Bitcoin’s total supply. Nasdaq-listed company CIMG has purchased approximately $24.61 million worth of 230 BTC, bringing its total holdings to 730 BTC; the company states that the current market is suitable for strategic entry. The Kingdom of Bhutan announced it will use 10,000 BTC from its reserves to build a “City of Mindfulness” project, demonstrating sovereign asset recognition of Bitcoin’s long-term value. These institutional-level steadfast holdings and increased accumulation behaviors signal long-term demand support for the market.

This message is not investment advice; please be aware of market volatility risks.