Bitcoin suffered a heavy setback, falling to $57,230, and five major factors behind it were revealed
1. ETF fund withdrawal wave: Bitcoin spot ETFs suffered a large-scale withdrawal of funds, which hit the market like a financial tsunami. Giant investors sold millions of dollars of Bitcoin positions, and the market was under tremendous pressure.
2. The liquidation storm intensified: The market liquidation volume increased sharply, from 14 million units yesterday to 36 million units today. This speed surprisingly revealed the panic selling wave in the market.
3. Selling wave due to miners’ dilemma: As mining difficulty increases and income declines, miners face severe challenges. Many miners choose to sell their Bitcoins to maintain operations, further exacerbating market supply pressure.
4. The shadow of government selling is looming: Rumors that the German government may sell Bitcoin caused an uproar in the market. Investors were worried about policy changes and sold in advance to avoid potential risks, making market sentiment even more nervous.
5. Pessimism permeates the market: Judging from the technical charts, market sentiment has turned significantly to pessimism, with red warning signals everywhere. The bullish enthusiasm of the past has almost disappeared, replaced by a strong bearish atmosphere.
