Rewrite the following content into a 2000-word, SEO-optimized article in English. Write it in the style of a professional journalist or news reporter. The article should be fully humanized, natural, and engaging — not robotic or repetitive.
Focus on clarity, flow, and storytelling while preserving the meaning of the original. Structure the article into 6 well-developed paragraphs with smooth transitions, strong headlines, and a professional tone. Use varied vocabulary, sentence lengths, and natural phrasing to make it read like human-written journalism.
Avoid keyword stuffing, but naturally integrate important SEO keywords throughout the article. Ensure the final article feels like it was written by a skilled reporter for a reputable news outlet.
ARK Invest stated that despite Bitcoin losing approximately 14% of its value in the second quarter of 2026, on-chain data is signaling the end of selling pressure. The company considered the record-high amount of Bitcoin held by long-term investors as a significant indicator pointing to a potential market bottom.
According to ARK Invest’s second-quarter Bitcoin report, $BTC closed June at approximately $58,544. During this period, the Bitcoin price fell below the short-term investor realization price of around $70,327, the 200-day moving average of $75,371, and the on-chain average of around $76,660.
The report stated that Bitcoin remaining below all three key moving averages is historically linked to bearish market conditions. Therefore, it argued that the technical outlook has not yet significantly improved.
However, on-chain indicators suggest that the sell-off may be nearing its final stages. For the first time in this cycle, the percentage of Bitcoin supply at a loss has surpassed the percentage at a profit, reaching approximately 54%. The percentage of Bitcoin at a profit, meanwhile, has fallen to 46%.
ARK Invest noted that the supply of shares in losses exceeding the supply of shares in profits has generally been observed in past market cycles near bottom levels. The fact that the rate of realized losses briefly surpassed the rate of realized profits, and that the ratio fell to 0.82, was also considered a sign of exhaustion in selling pressure.
Another key finding in the report was the amount of Bitcoin held by long-term investors. The supply of Bitcoin held by long-term investors increased by approximately 313,000 $BTC in the second quarter, reaching an all-time high of 14.85 million $BTC.
According to ARK Invest, long-term investors with high levels of conviction continued to accumulate Bitcoin distributed in the market during the price decline. The company noted that the increase in the supply from long-term investors during the price drop constituted a positive divergence in terms of the fundamental outlook of the market.
However, the report noted that Bitcoin has not yet fallen back to its historically low on-chain cost levels. It stated that Bitcoin’s current price is approximately $53,000, while its investor price is around $49,000.
ARK Invest stated that the downside risks have not completely disappeared, as Bitcoin has not yet tested this cost range between $49,000 and $53,000. According to the company, the process of returning to the average, which has accompanied global market lows in the past, has not yet occurred.
The report also stated that outflows from spot Bitcoin ETFs traded in the US increased pressure on the market. The funds recorded net outflows for seven consecutive weeks towards the end of the quarter, losing approximately 71,000 $BTC in assets throughout the second quarter.
Related News Net Inflows into Cryptocurrency Investment Products Have Begun Again: Is This a Sign of a Bitcoin Rally?
During the worst week of late June, approximately 30,000 $BTC were withdrawn from ETFs. ARK Invest stated that the weakening spot ETF demand indicates that one of the most important marginal demand sources supporting the Bitcoin price has lost strength.
Signs of stress were also seen in the funding conditions of Bitcoin treasury companies. Strategy’s STRC preferred stock, codenamed “Stretch,” fell from its nominal value of $100 to as low as $74.57 during the quarter. STRC finished the second quarter at approximately $84.86.
ARK Invest stated that STRC trading below its face value could indicate an increase in the cost of capital for leveraged companies building Bitcoin treasuries.
Bitcoin’s three-month futures base rate remained low but positive at an average of 2.3% throughout the quarter. The fact that the rate occasionally approached backwardation indicated that demand for leveraged long positions and speculative appetite were limited.
ARK Invest evaluated technical and on-chain indicators as well as the macroeconomic environment. The report argued that technology-driven productivity increases limited inflationary pressures.
It was stated that although unit labor costs increased by 0.5 percent, productivity rose by 2.8 percent, and core consumer inflation remained at around 2.9 percent despite the increase in oil prices.
The company also argued that the flattening of the yield curve reflected deflationary trends rather than recession. It stated that artificial intelligence, energy infrastructure, deregulation, and regulations allowing investments to be expensed directly supported capital expenditures.
According to ARK Invest, new orders for core capital goods hitting a record high and surpassing a 25-year resistance level indicates the formation of a sustained growth cycle driven by technology and energy investments.
*This is not investment advice.
