Bitwise CIO: Bitcoin's Decline Due to Long Position Liquidations

Odaily News Bitwise CIO Matt Hougan posted on X platform, stating that various conspiracy theories have been circulating recently, involving Binance, Wintermute, unknown offshore macro hedge funds, Bitcoin going to zero, and Jane Street. He explained that the real reason for Bitcoin's decline is that some institutions holding long Bitcoin positions are offloading their Bitcoin exposure through spot sales, liquidating leveraged positions, and selling Bitcoin call options. The motivations for this selling include the four-year cycle, concerns about quantum computing, and shifting investments to AI startups. He pointed out that the selling has largely concluded, the market is in the process of bottoming out, and there is potential to reach new all-time highs in the future. He described the current situation as a typical crypto winter, which will be followed by a crypto spring. The public tends to look for scapegoats, but the reality is more mundane.