BTC drops below 90,000, but on-chain whales are accumulating at low levels, and market bearish sentiment is intensifying.

According to the latest news, BTC broke below the 90,000 USDT level today, with the current price at 89,987.3 USDT. This is another dip following a 4.96% decline over the past week, but what’s noteworthy is that while the price is under pressure, on-chain institutions and the options market are sending different signals.

Price Trend Analysis

BTC is facing significant short-term pressure. Based on data, the current price movements are as follows:

From the data, BTC remains in an upward trend on the daily chart, but the 4.96% decline over 7 days indicates considerable recent adjustment pressure. The breach of the key level at 90,000 USDT may attract more short-sellers testing support.

On-Chain Institutions Positioning at Low Levels

Interestingly, while the price declines, on-chain signals show active institutional behavior. According to the latest monitoring, Coinbase Institutional has transferred approximately 575-576 BTC to unknown wallets over the past two days, worth about $50 million. Such large transfers often suggest institutions are adjusting their holdings or positioning at low levels.

Meanwhile, on-chain data shows that whales have accumulated a total of 36,322 BTC over the past 9 days, worth about $3.2 billion. This indicates that large investors are buying during the price correction, contrasting with retail investors’ panic selling.

Options Market Signals Bearish Sentiment

The Gate Research Institute’s latest observations indicate a shift in market sentiment. The implied volatility for BTC and ETH is 42% and 56%, respectively, with ETH’s implied volatility dropping to its lowest level in the past year. More notably, the 25-Delta Skew in the options market has turned significantly negative, especially in short-term (7D/30D) maturities, indicating that funds are heavily buying put options, and downside hedging demand is rising sharply.

In the past 24 hours, large options trades include a BTC put spread volume of 1,115 BTC, with a structure of buying 88k/ selling 90k. This further confirms market concerns about short-term downside.

Market Fundamentals Remain Stable

Despite short-term pressure, BTC’s market position remains solid. Its market cap is still at $1.80 trillion, accounting for 59.21% of the total crypto market. The 24-hour trading volume is $3.574 billion, down 13.81% from the previous day, which more reflects market caution rather than liquidity exhaustion.

Short-Term Market Outlook

The current market shows typical divergence: retail investors are selling due to price declines, while institutions and large holders are accumulating at lows. Historically, such divergence often signals an impending reversal. However, the rising bearish sentiment in the options market suggests that BTC could face further testing below 90,000 USDT in the short term.

Key observation points are: if BTC can find support in the 88,000-89,000 USDT range, combined with continued institutional positioning, the probability of a rebound will significantly increase. Conversely, if this support is broken, it could trigger more stop-loss selling.

Summary

While BTC breaking below 90,000 USDT appears bearish, the underlying market structure shows signs of institutions positioning at lows and large investors increasing holdings. The rising bearish sentiment in the options market indeed adds short-term uncertainty, but this also reflects extreme market emotions. The key is to watch whether the support levels at 90,000 USDT and 88,000 USDT can hold, and whether institutional positioning will gradually turn into a reverse driving force.