Bitcoin demand indicator hits its worst reading since December amid soft spot buying.

Bitcoin’s rebound is showing signs of strain as underlying demand fails to keep pace with incoming supply, raising questions about the strength of the current move.

According to CryptoQuant, the 30-day apparent demand indicator has dropped to -147,000 BTC, its weakest level since December 2025. This comes despite bitcoin stabilizing in the mid-$70,000 range after recovering from April lows near $65,000.

The indicator measures how much new supply — including freshly mined coins and previously dormant bitcoin returning to circulation — is being absorbed by the market. Positive readings indicate strong demand, while negative values suggest supply is outpacing buying interest. At present, the latter is clearly dominating.

This imbalance highlights a key weakness in the ongoing rally. While prices have climbed notably from April’s bottom, the move has not been backed by sustained spot market accumulation — typically a cornerstone of stronger, longer-lasting uptrends.

Earlier in May, demand conditions had improved significantly, with the metric recovering from around -91,000 BTC in April to nearly -11,000 BTC, signaling a near equilibrium. However, the recent deterioration back to deeply negative territory suggests that momentum has faltered.

The data implies that derivatives markets, rather than spot buyers, have been driving the recent price action. Such rallies tend to be more fragile, as leveraged positions can unwind quickly in response to shifts in funding rates or liquidations. In contrast, spot demand reflects committed capital and generally provides firmer price support.

While weak demand does not necessarily signal an immediate downturn, it leaves bitcoin more reliant on fresh buying to sustain further gains. Without that support, the market may struggle to break higher.

In that context, the $70,000 level stands out as a critical zone. CryptoQuant identifies it as the short-term holder realized price — a level where recent buyers’ unrealized profits are largely erased, potentially stabilizing selling pressure but also limiting upside unless new demand emerges.