Bitcoin has demonstrated notable resilience, reacting strongly to a recent soft inflation report, outperforming major equity indices. This marks a shift as Bitcoin's correlation with equities loosens, while its inverse relationship with the dollar strengthens, indicating liquidity is now a key driver. Long-term holder capitulation has decreased, and profit-taking has subsided, suggesting a potential bottoming process.
Despite these positive signs, the market awaits a crucial catalyst: spot buying. While derivatives traders are unwinding downside bets, spot market activity remains subdued. The Short-Term Holder Cost Basis near $69,000 represents the next resistance level, where a strong market reaction is anticipated. Until spot buying materializes, the recovery remains tentative, with ETF flows stabilizing but not yet reversing.
Bitcoin Shows Resilience Amid Market Shifts, Awaits Spot Buying Catalyst
Disclaimer: The content provided on Phemex News is for informational purposes only. We do not guarantee the quality, accuracy, or completeness of the information sourced from third-party articles. The content on this page does not constitute financial or investment advice. We strongly encourage you to conduct you own research and consult with a qualified financial advisor before making any investment decisions.
