Bitcoin is dropping fast, with people losing about $57 million every hour as they sell. Here’s what’s going on.

Bitcoin has been all over the place lately, with prices dropping more than 15% in the past week, falling below $80,000. This kind of drop hasn’t been seen since November 2024.

According to blockchain research firm Glassnode, many investors are selling at a loss, especially those who bought Bitcoin recently. On February 28, Bitcoin’s price dip led to $685 million in losses, adding to the $2.16 billion already lost between February 25-27.

Most of these losses come from short-term holders—people who bought Bitcoin within the last few days or weeks. Here’s a breakdown of how much different groups lost:

• Those who held Bitcoin for just 1 day to 1 week lost $238.8 million.
• Those holding for 1 week to 1 month lost $187.6 million.
• Investors with Bitcoin for 1 to 3 months lost $132.4 million.
• People who bought within the last 24 hours lost $104.9 million.

Even some longer-term holders (3-6 months) saw a spike in losses, with $12.7 million lost on Friday—almost double the losses from the previous day.

Glassnode’s report also found that Bitcoin investors were losing money at an average rate of $57.1 million per hour on Friday as prices dropped.

Most of these losses came from short-term holders, who were selling off their Bitcoin at a rapid pace. Here’s how fast different groups were losing money:

• People who held Bitcoin for 1 day to 1 week lost about $19.9 million per hour.
• Those holding for 1 week to 1 month lost around $13.9 million per hour.
• Investors with Bitcoin for 1 to 3 months saw losses of $14.2 million per hour.
• Buyers who got in within the last 24 hours lost $8.04 million per hour.

As expected, the group that held Bitcoin for 1 day to 1 week was selling the fastest, nearly doubling the losses of the next biggest group.

Long-Term Bitcoin Holders Remain Unshaken

Despite the recent market drop, investors who have held Bitcoin for 6-12 months haven’t been selling at a loss, according to Glassnode’s report.

This shows that long-term holders aren’t too worried about the current sell-off and still believe Bitcoin will bounce back.

As of now, Bitcoin is trading at $85,200 after recovering some losses on Friday. However, it’s still down 11.34% for the week, showing that the market is still in a downward trend.