Bitcoin saw a drop of $93,000 around 06:30 this morning, hitting a nearly week-low. The market liquidity shortage caused by the holiday in Europe and America seems to have not shown obvious recovery.
Bitcoin fluctuated around $95,000 over the weekend, reaching a peak of $95,750 yesterday. However, a new wave of decline began yesterday evening, with a drop of $93,000 around 06:30 this morning, marking a nearly week-low.
Before the deadline, Bitcoin slightly rebounded, currently reported at $93,610. It has dropped 1.32% in the last 24 hours.
Funds from Bitcoin spot ETFs have flowed out again.
Regarding the performance of Bitcoin spot ETFs, there was a further outflow of $287 million last Friday (after deducting a net outflow of $376 million over the holiday last week). It currently appears that the market liquidity shortage caused by the holiday in Europe and America has not shown obvious recovery.
If the outflow of funds does not improve, Bitcoin's price may continue to be under pressure.
In the last 24 hours, liquidations totaled $155 million.
According to Coinglass data, in the past 24 hours, the total liquidation amount in the cryptocurrency market reached $155 million, with long liquidations at $116 million being the majority, and short liquidations at $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-averse 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 US inflation indicator, immediate inflation measures have accelerated to new highs in recent months.
Dragosch added that Bitcoin may experience further declines in the coming weeks, but this could 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 bullish factors provided by BTC's supply shortage, this could be an interesting buying opportunity.
Additionally, according to Cointelegraph, Bitwise's Chief Investment Officer Matt Hougan stated that the recent pullback in the crypto market may be due to 'natural clearing of leverage,' emphasizing that long-term factors remain strong and the crypto market is still in a robust bull market.
