Golden Finance reported that according to Bloomberg news, Bitcoin is hovering near its lowest level in about two weeks due to reduced inflows into spot Bitcoin ETFs and concerns that the scope of U.S. interest rate cuts is narrowing. The cryptocurrency has fallen almost daily since hitting an all-time high of nearly $73,798 on March 14, raising questions about whether the cryptocurrency has temporarily peaked. The decline comes amid uncertainty over whether above-target inflation will lead Federal Reserve policymakers to lower their forecasts for a rate cut at Wednesday's meeting, signaling a less favorable environment for speculative investing. Meanwhile, demand for the U.S. spot Bitcoin ETF launched on January 11 has cooled. The products have seen net inflows of $11.6 billion so far, but investors pulled money from the group on Monday. Crypto market capitalization has now reached $2.45 trillion, according to CoinGecko data, since total crypto market capitalization reached $2.9 trillion last week. K33 Research said bullish bets using derivatives may be further hit, suggesting that The digital asset market’s rapid recovery may hit roadblocks. Therefore, the risk of continued expansion of downside volatility due to long liquidation remains considerable.
