Bitcoin’s Correction Deepens as Spot Demand Evaporates – Here’s What You Need to Know
Spot buying pressure vanishes just as Bitcoin needs it most.
The Dry-Up No One Wanted
Institutional inflows? Gone. Retail FOMO? Fizzled. The once-steady drumbeat of spot ETF purchases that propped up the market has hit a wall of silence. It's the classic crypto liquidity trap—everyone's waiting for someone else to buy first.
Correction or Something More?
Without that foundational demand, technical support levels are just numbers on a screen. The market's testing whether this is a healthy pullback or the start of a deeper structural slide. Remember, in traditional finance they call this 'price discovery'—in crypto, we call it Tuesday.
The Waiting Game
Miners hold. Whales watch. Traders scalp shrinking ranges. The entire ecosystem is holding its breath for a catalyst that may not come from charts or algorithms, but from that most fickle of sources: renewed human conviction. Sometimes the most powerful force in markets isn't a Fed announcement—it's collective boredom giving way to greed.
Lack Of Spot Bitcoin Buyers Extends
The broader cryptocurrency market was left in awe when the Bitcoin price experienced a sharp pullback during the weekend. Even after a strong decline, the ongoing correction is showing signs of becoming more entrenched, as evidenced by weak spot trading.
A glimpse into research from Darkfost, a popular market expert and author at CryptoQuant, shows that spot demand is steadily drying up. This suggests that fewer buyers are choosing to enter the market to absorb sell-side pressure, leaving BTC’s price highly vulnerable to even modest outflows.
In addition to the fading spot demand, the market is set to enter into its fifth consecutive month of downside pressure. Since fewer buyers have entered the spot market, selling activity has had a disproportionate effect on price, which in turn is extending the decline.
Darkfost highlighted that this correction has been largely driven by the October 10th, 2025, event. During the period, there has been a massive destruction of liquidity, particularly in the Futures market. In a single day, BTC’s Open Interest (OI) fell by more than 70,000 BTC, representing over $8 billion wiped out. However, the expert stated that this is not the only factor at play.
The chart shows that overall market liquidity is also under pressure, which is indicated by stablecoin outflows from crypto exchanges. At the same time, there was a roughly $10 billion decline in stablecoin market capitalization over the period. However, developments in spot market volumes are as instructive.
Spot Trading Volume Slips Into Two After Fresh Decline
Since October 2025, about half of Bitcoin’s entire spot volume has gone, with Binance, the leading crypto platform, still holding the largest share at $104 billion. In contrast, volumes on Binance had almost hit $200 billion in October, against the $53 billion on Gate.io and $47 billion on Bybit.
According to Darkfost, the market has returned to some of its lowest levels since 2024 as a result of this volume decrease. Meanwhile, this suggests a definite disengagement from investors in the crypto market and, consequently, weaker demand.
In the meantime, the current state of the environment remains uncertain and does not encourage investors to take risks. For a sustainable recovery to take place, the expert noted that it is vital to persistently monitor this trend and, above all, to see spot trading volumes return to the upside.
At the time of writing, the price of BTC was $78,640, up nearly 3% in the last 24 hours. Its trading volume is moving in the opposite direction, falling by over 16% in the past day.
