Analysis: Three major structural factors amplify this round of Bitcoin decline

Odaily Planet Daily reports that Bitcoin has recently experienced a sharp sell-off, retreating more than 50% from its all-time high of approximately $126,200 in October 2025. Analysts believe that three major structural factors have amplified this downturn:

1. Some opinions suggest that Asian funds may have been the trigger for this round of selling. By borrowing low-cost yen and allocating funds to Bitcoin ETFs and related crypto assets to establish highly leveraged long positions, when Bitcoin stopped rising and financing costs increased, it triggered margin calls and passive selling, exacerbating the market decline;

2. Some banks may have been forced to sell assets due to risk hedging of Bitcoin structured products, creating a "negative Gamma" effect that amplified downward momentum;

3. Some mining companies are shifting towards AI data center businesses while selling Bitcoin assets, leading to structural changes in the Bitcoin mining industry. (Cointelegraph)