Bitcoin experienced its largest single-day realized loss in history during a market crash on February 5th, as on-chain data from Glassnode revealed losses of $3.2 billion. This surpasses the previous record of $2.7 billion during the 2022 LUNA crash. The losses were calculated by tracking Bitcoin sold below purchase price, excluding internal transfers within entities. The sell-off, characterized by rapid pace and high trading volume, is seen as a capitulation event, according to Checkonchain. Analysts suggest that such significant losses often signal a bear market bottom, as the average daily net loss exceeded $1.5 billion during the crash.