Bitcoin's recent rally was halted as it failed to sustain levels above the $95,000 to $98,000 resistance range, according to the Bitfinex Alpha report. After peaking at $97,850 in mid-January, Bitcoin's price dropped over 10%, falling below its annual opening price. This decline is attributed to weakening spot buying momentum and increased outflows from ETFs.
The report highlights that derivative positions have been adjusted in an orderly manner, with volatility confined to short-term contracts. This suggests that market caution is driven by specific events rather than broader market shifts. Without a resurgence in spot and ETF demand, Bitcoin is likely to remain range-bound until a new demand catalyst emerges.
Bitcoin Struggles Below $98,000 Resistance, Market Awaits New Catalyst
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