Institutional investors' movements are the core driving force behind this round of decline. Strategy (MSTR-US), long regarded as a steadfast Bitcoin holder, sold 32 Bitcoins for the first time in a single day, breaking the company's "never sell coins" market belief, and the psychological impact of this move far exceeds the amount sold itself. Additionally, Bitcoin spot ETFs have experienced net outflows for 11 consecutive days, totaling approximately $3.5 billion in losses, indicating ongoing pressure on institutional holdings.

Research indicates that the crypto market is under pressure from "funds switching." Due to the exceptional performance of the US stock sectors such as AI, semiconductors, defense, and energy, a phenomenon called "funding black hole" has emerged, absorbing capital that might have otherwise flowed into cryptocurrencies.