Bitcoin supply underwater hits 2-year high as market stress grows

Around 8.9 million Bitcoin, or 45% of the circulating supply, is now underwater, marking the highest level of supply in loss since January 2023, according to CryptoQuant analyst J.A. Maartun. He said capitulation risk climbs when this metric surges.

🔴 8,941,278 BTC is now sitting at a loss — the highest level since January 2023.

That’s 45% of the circulating supply underwater 📉

Capitulation risk rises when this metric spikes. pic.twitter.com/NCp73fQy7q

— Maartunn (@JA_Maartun) February 5, 2026

Bitcoin has fallen about 10% in the past 24 hours, slipping below $65,500 at the time of reporting after breaking under the $67,000 level early in the morning, per TradingView.

US Bitcoin ETFs recorded net outflows in late January 2026, marking the second- and third-worst weeks in ETF history. Cumulative inflows have declined by 12.4% since their peak in October 2025.