Bitwise’s assessment of STRC’s volatility points to a late‑cycle unwind of leveraged positions rather than a fundamental failure of the strategy. In plain terms, the token’s recent sell‑off is a signal that institutions are trimming their exposure, which can be a normal part of a market cycle’s tail end.
With these positions being reduced, larger players are expected to fill the gap as Bitcoin’s primary buyer. This shift could bring more stability to the market, especially as the current fear‑greed index sits at an extreme‑fear level of 19. In such a climate, a bottom‑phase is often approached when institutional buying starts to dominate after a period of heavy selling.
Bitcoin is currently trading around $61,668, up 3.1 % in the last 24 hours, while Ethereum has gained 5.6 %. These gains suggest that the market may be beginning to recover, but the real test will be whether institutional demand can sustain the upward momentum. Retail traders should keep an eye on leverage levels and institutional activity rather than chasing short‑term price movements. The next few days will be telling: if Bitcoin consolidates and institutions step in, the cycle may indeed be nearing its bottom.