CoinVoice has recently learned that Bitwise released its macro investor report on Bitcoin for January 2025, indicating that the cryptocurrency market will face macro headwinds such as profit-taking and reduced institutional exposure in December 2024. The appreciation of the dollar and adjustments to Federal Reserve policy have led to a tightening financial environment; however, Bitcoin still receives support from on-chain data.
Despite short-term risks, long-term positive factors such as the Bitcoin halving and strategic reserves support expectations for a significant price increase, with expectations that it will outperform traditional assets in 2025 and beyond. Although the Federal Reserve lowered rates by 25 basis points at its December meeting, it hinted that future rates may be higher than expected. The decline in global liquidity and the strengthening dollar exert pressure on Bitcoin, which remains correlated with traditional markets such as the S&P 500.
On-chain, demand from ETFs, corporate treasuries, and retail investors has created a supply gap for Bitcoin. Although some on-chain activity has cooled, key indicators such as declining exchange balances and rising hash rates show that market resilience remains strong. [Original link]
