Bitcoin fell to a low of $93,000 around 06:30 this morning, marking its lowest point in nearly a week. The market liquidity shortage caused by the European and American holidays seems to have not yet shown significant recovery.
Bitcoin continued to fluctuate around $95,000 over the weekend, reaching a high of $95,750 yesterday, but started a new wave of decline from yesterday evening, dropping to a low of $93,000 around 06:30 this morning, which is its lowest point in nearly a week.
As of the deadline, Bitcoin has slightly rebounded, currently priced at $93,610. It has fallen 1.32% in the last 24 hours.
Outflow of Bitcoin spot ETF funds again
Regarding the performance of the Bitcoin spot ETF, there was again an outflow of $287 million last Friday (after accounting for a net outflow of $376 million last week due to the holiday), and it currently appears that the market liquidity shortage caused by the European and American holidays has not yet shown significant recovery.
If the outflow situation does not improve, Bitcoin's price may continue to be under pressure.
Liquidations of $155 million in the last 24 hours
According to Coinglass data, in the past 24 hours, the total liquidation amount across the cryptocurrency market reached $155 million, with long liquidations of $116 million being the largest, and short liquidations amounting to $36.98 million, affecting over 75,000 people.
Bitwise: Further declines may occur in the coming weeks
In the face of Bitcoin's continued downward trend, Andre Dragosch, Head of European Research at asset management firm Bitwise, stated last week that this risk-off sentiment may persist for some time:
Overall, the Fed is currently in a dilemma. Despite three consecutive rate cuts since September, financial conditions continue to tighten. At the same time, according to Truflation's U.S. inflation indicator, immediate inflation measurements have accelerated again in recent months, reaching new highs.
Dragosch added that Bitcoin may experience further declines in the coming weeks, but this may also be a good opportunity to buy the dip:
Therefore, it is likely that we will see more painful declines in the coming weeks, but given the ongoing positive news from the BTC supply shortage, this could be an interesting buying opportunity.
Additionally, according to Cointelegraph, Bitwise Chief Investment Officer Matt Hougan stated that the recent correction in the crypto market may be due to 'natural clearing of leverage', and emphasized that the long-term factors remain positive, with the crypto market still in a strong bull run.
