BITCOIN AT A CRITICAL CROSSROAD: IS THE WORST OVER?
Bitcoin is trading around $64,800 after a sharp correction, briefly approaching the $62,000 region.
What is driving the pressure?
• Hotter-than-expected US inflation and stronger dollar. • Rising geopolitical uncertainty. • Seven consecutive days of Bitcoin ETF outflows, totaling approximately $1.91 billion since November 5. • Billions of dollars in leveraged liquidations.
The impact goes beyond Bitcoin.
ETH, BNB and SOL have also suffered significant losses. Stablecoin market capitalization is shrinking, while DeFi liquidity and trading activity are weakening.
TradFi-linked crypto products are also exposed to declining risk appetite.
What comes next?
Holding the $62,000 region could create room for a recovery. However, continued institutional outflows and macroeconomic pressure could extend the correction.
My view: The next move will depend on liquidity, institutional demand and global risk sentiment.
Is this a temporary shakeout or the beginning of a deeper market correction?
#Bitcoin #CryptoMarket #Altcoinseason2024 #DeFi #TradFi
Bitcoin is trading around $64,800 after a sharp correction, briefly approaching the $62,000 region.
What is driving the pressure?
• Hotter-than-expected US inflation and stronger dollar. • Rising geopolitical uncertainty. • Seven consecutive days of Bitcoin ETF outflows, totaling approximately $1.91 billion since November 5. • Billions of dollars in leveraged liquidations.
The impact goes beyond Bitcoin.
ETH, BNB and SOL have also suffered significant losses. Stablecoin market capitalization is shrinking, while DeFi liquidity and trading activity are weakening.
TradFi-linked crypto products are also exposed to declining risk appetite.
What comes next?
Holding the $62,000 region could create room for a recovery. However, continued institutional outflows and macroeconomic pressure could extend the correction.
My view: The next move will depend on liquidity, institutional demand and global risk sentiment.
Is this a temporary shakeout or the beginning of a deeper market correction?
#Bitcoin #CryptoMarket #Altcoinseason2024 #DeFi #TradFi
