Coinbase Institutional has identified market signals and wealth inequality as primary factors behind Bitcoin's recent decline. The firm points to weakening technical support, ETF outflows, and a concentration of wealth among a small group of investors as key contributors. Additionally, long-time whale investors are reportedly selling off assets, while digital asset traders are reducing their activity.
The report also connects the volatility in the cryptocurrency market to broader macroeconomic concerns, including the dual impact of artificial intelligence on labor markets and investment behavior. These factors are seen as exacerbating the current downturn in Bitcoin's value.
Coinbase Cites Market Signals and Wealth Inequality for Bitcoin Decline
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