The market has plummeted by 30%, retail investors are crying, but institutional wallets are actually growing fatter.



Recently, I’ve been flooded with private messages: "Bitcoin bottomed at 80,000, then dropped to 70,000. Should I cut losses now or hold on tight?" Seeing the accounts in deep red is indeed distressing. But when I open on-chain data, the story is completely reversed—while retail investors are selling in defeat, institutional investors are eating up chips at their most aggressive pace in nearly half a year.

This extreme opposition reminds me of legendary trader Peter Brandt’s view: market sentiment swinging from one extreme to another often signals an imminent turning point.

**Panic Creates Opportunities**

The past six weeks have been truly brutal. Bitcoin has plunged over 31% from its October high, briefly breaking below $88,000. On December 15 alone, the entire network saw $270 million in liquidations, with over 110,000 traders forcibly wiped out. The numbers are cold, but the emotional swings behind them are even colder.

Interestingly, this wave of panic selling has created a window for contrarian positioning. Historical experience shows that when Bitcoin retraces 25%-30% from its top, it usually stalls near a bottom phase.

**Three Signals Are Flashing**

The Fear & Greed Index has dropped to 16, a solid "Extreme Fear." Looking at historical data, buying when the index is below 20 has yielded an average return of over 80% within a year. This data doesn’t lie.

Bitcoin’s daily RSI is already oversold. While short-term volatility may continue, the foundation for a medium- to long-term rebound is being built.

Institutional flows are very clear from the data—big players are quietly bottom-fishing, while small retail investors are fleeing in panic. The market is always this divided; the question is, which side are you on?
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NFTragedyvip
· 2025-12-20 05:05
Retail investors got wiped out that day, I was also watching. Seeing the institution wallets grow fat like pigs, I just wanted to smash my phone. But on the other hand... this plot seems familiar, it’s always like this, getting cut again and again. It's already fallen so much, and people are still asking whether to cut or not? I really want to ask, why do you still ask? Wait, a fear index of 16? Has everyone ever bought at this level in history? Maybe I misunderstood something. I believe institutions are eating up chips, but are retail investors really bottom-fishing or just looking for suicidal exit points? I can't tell the difference anymore. Are you still holding on stubbornly now, or have you already surrendered? I really want to know. Big players are impressive, they always strike at the worst times. What can a small retail investor do by holding on alone... I've heard too many times that RSI oversold means a rebound, but what’s the result? Next time, just listen to it as a story.
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GreenCandleCollectorvip
· 2025-12-19 15:40
Retail investors are caught buying the dip, while institutions are疯狂吸筹... This is the difference between retail traders and big funds, always a matter of perception. The ones who lose out are always those chasing gains and selling in panic; they should really learn how institutions bottom fish. RSI oversold combined with a fear index of 16? This signal is clearer than anything else. The problem is retail investors simply can't hold on. People who cut losses now should be kicking themselves. In a couple of months, looking back at today's price will tell you everything. On-chain data can't be fooled. Large investors rushing in indicates what? It means the bottom has arrived. Every crash follows this logic: retail investors panic, institutions step in. Which side are you on? I just want to know what those who bought the dip at 80,000 are thinking now. That's what you call the art of holding. Historical records show that a 25-30% retracement is the bottom. Those still crying should really review their own actions.
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BearMarketSurvivorvip
· 2025-12-17 09:18
Back at it again? When retail investors cut their losses, institutions are always the ones placing the buy orders. It's always the same script. --- Buying the dip at 80,000 and shouting in pain at 70,000—that's just the fate of being harvested. --- The fear index at 16 is truly incredible; historically, this position has a very high chance of a rebound. --- I just want to know, how did you choose that 80,000? Or was it just a gamble? --- On-chain data is right here; big players eating up the chips doesn't lie. Just follow and eat. --- The entire December has been about lifting the market for institutions, while retail investors are crying and screaming. --- RSI oversold signals have been seen a hundred times; each time, it's a prelude to a bottom rebound. --- The issue isn't whether to cut or not, it's that you never really learned how to set stop-losses properly. --- A 25 to 30 point retracement really gets stuck at the bottom; history just repeats itself. --- Institutions buy quietly, small investors panic and run, and that's how the market gets divided.
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GweiWatchervip
· 2025-12-17 05:49
Retail investors cry, but the institution's tactic of eating up chips works every time. I just want to know who can hold out until the rebound day this time. People cutting losses should be especially regretful now. Let's wait and see if we can buy the dip to the bottom. The fear index at 16 is a bit intense. History tells us that at this time, we should actually be greedy. I entered with 80,000 and am still holding on stubbornly. Anyway, all losses are losses. It depends on what price level the institutions will eat up. On-chain whales are quietly accumulating chips, which is the real signal. Retail investors and institutions are always operating in opposite directions. The question is, how do we keep up with the rhythm? What does an oversold RSI usually mean... those who understand, understand. This round of dumping is a feast prepared for the wealthy. We can only watch from the sidelines. Hold on, everyone. Either get washed out or wait for a double.
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GasDevourervip
· 2025-12-17 05:49
Retail investors cut losses, institutions take profits. How many times has this script been played out... Dare to ask all the brothers still in loss, who holds your chips now? --- It's that old saying again, the lower the fear index, the more you should get in, but when real guns are blazing, who the hell can stay calm? --- On-chain data is dead; human sentiment is alive. When institutions are eating up the chips, we're just eating dirt. That's the difference. --- Brothers who bought the dip at 80,000 and saw it drop to 70,000, as long as you're still alive, you've already won. Much better than those who bought at 50,000 and kept leveraging up. --- So, the real contrarian trading is when everyone is crying, you should be laughing. Easy to say, though. --- RSI oversold, fear index at 16, institutions are buying... These signals are everywhere, but execution is the hardest part. Who can really stay unmoved?
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MetaverseVagabondvip
· 2025-12-17 05:42
Retail investors cut losses while institutions scoop up the bottom, this script really works every time haha --- Again, the same old saying—be greedy when others are fearful, but you need to have money first --- I also believed in RSI oversold signals back then, but it kept dropping, now I just watch the show --- Fear index at 16? I give it a zero, completely broken --- Institutions are now eating up chips, and when the rebound comes, it'll be our turn to buy in again, cycle goes on, brother --- 70,000 is the bottom? I bet 50,000 can be seen, and by then this article should change its title --- Historical experience is something best used as a rearview mirror
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ser_ngmivip
· 2025-12-17 05:35
Retail investors cutting losses is when I get in. History always repeats itself this way. Really, when I see the fear index at 16, I know the opportunity has arrived. The last time it was below 20, it doubled again. Brothers who bought in at 80,000, don't worry. Once we get through this wave, you'll make a fortune. Historical data shows this clearly. When institutions are eating up the chips, I follow along. Anyway, the moments of retail panic are always the best contrarian opportunities. While you’re cutting losses, I’m building positions. Just wait and see, everyone.
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FOMOSapienvip
· 2025-12-17 05:25
Retail investors losing everything is just the right time for us to get in. Big players eat up the chips, so do we. --- Same old story. The harder it falls, the closer to the bottom. Expect a rebound by the end of the year. --- The fear index of 16 is no joke. History is just repeating itself like this. --- The key question is, do you dare to add positions during extreme fear? Most people say they are bottom-fishing, but they are actually cutting losses. --- Institutions are quietly accumulating chips. Retail investors are still asking whether to cut losses. This gap says it all. --- A 31% drop in Bitcoin is nothing in history, but psychologically, most people are already dead. --- RSI is oversold. A rebound is only a matter of time. It all depends on who can withstand the volatility of these few days. --- Always remember one thing: when others are greedy, I am fearful; when others are fearful, I am greedy. Now, it's time for someone to be greedy. --- Dropping 88,000 is really tragic, but this is the bottom being created. Wait for the rebound, everyone. --- On-chain data is right here. The signals for big players entering are so clear, what are we waiting for?
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