Bitcoin’s Rally Shows Signs of Slowing Down
Bitcoin‘s recent upward momentum may be waning, according to analysts at Bitfinex. Key indicators like declining spot trading volume and increased profit-taking suggest the cryptocurrency could be entering a consolidation phase. This comes despite Bitcoin‘s impressive 41% surge from its April low.
The Critical Role of ETFs and Institutional Demand
Spot Bitcoin ETFs and institutional interest remain crucial factors for Bitcoin’s next price movements. U.S.-based spot Bitcoin ETFs have seen consistent inflows, with $4.63 billion net inflows recorded since June 9. Market participants are closely watching these developments alongside macroeconomic factors, particularly upcoming Federal Reserve interest rate decisions.
Market Outlook and Key Considerations
While some analysts maintain a bullish long-term view, others note pressure from long-term holders selling their positions. The interplay between institutional accumulation and long-term holder distribution will likely determine Bitcoin’s price trajectory in the near term. As always, market participants should conduct thorough research before making any decisions.
