Bitwise CIO: Bitcoin's Decline Due to Long Position Liquidations, Selling Pressure Largely Over

Odaily Matt Hougan, Chief Investment Officer of Bitwise, posted on platform X, stating that numerous conspiracy theories had previously emerged surrounding Binance, Wintermute, unknown offshore macro hedge funds, Bitcoin going to zero, and Jane Street. He explained that the real reason for Bitcoin's decline was that some institutions holding long positions on Bitcoin were selling off their exposure through spot sales, liquidating leveraged positions, and selling Bitcoin call options. The motivations for the selling included the four-year cycle, concerns about quantum computing, and shifting investments to AI startups. He pointed out that the selling pressure has largely been completed, the market is in the process of bottoming out, and there is potential to set 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.