$BTC Rebounded to $59189.3, but volatility may continue

Three reasons suggest market recovery

QCP Capital pointed out in its Telegram channel that the following three key reasons indicate that the cryptocurrency market may be about to recover:

German government Bitcoin transfer:

The German government previously transferred $200 million worth of Bitcoin to the exchange, but then transferred some of the Bitcoin back. This means that these Bitcoins did not enter the market circulation, thus avoiding further price declines. This behavior may contribute to the stability of the market and ease market concerns about large-scale sell-offs.

Bitcoin spot ETF net inflows:

July 8. Bitcoin spot ETF attracted a net inflow of $295 million, the highest level in 21 days. This phenomenon reflects the strong demand for Bitcoin in the market and provides strong support for Bitcoin prices. The net inflow of ETFs indicates an increase in interest from institutional investors, which is generally seen as a bullish signal for the market.

Despite the lack of market liquidity, Bitcoin and Ethereum have rebounded from their lows this week. This shows that despite the unfavorable factors, the market still has active buying behavior at low levels, showing the confidence and interest of market participants. This phenomenon of buying low usually indicates that the market may enter a recovery phase.