"Bitcoin has failed to break out above the $70,000 threshold despite multiple attempts since last week, remaining pinned near its lowest levels of 2024. A convergence of risk factors, ranging from AI-related anxieties to a persistent higher-for-longer interest rate environment and the specter of conflict in the Middle East, is preventing liquidity from returning to the crypto market through its usual channels."
"This lack of conviction is further reflected in the derivatives space, where CoinGlass reports that total crypto futures open interest remains approximately 60% below its all-time high, with Bitcoin-specific futures down 54%. On-chain metrics from BGeometrics suggest that while whales have avoided massive distribution and have even begun to accumulate modestly in recent days, the trend remains fragile. While this activity likely helped Bitcoin stage a minor turnaround"
"This crypto stagnation comes as US equities navigate a treacherous wall of worry, with the relief from cooling inflation being eclipsed by an aggressive and often volatile repricing of the artificial intelligence narrative. According to the Wall Street Journal, investors have adopted a shoot-first-and-ask-questions-later mentality, dumping shares across the software and logistics sectors on fears that autonomous AI will render traditional business models obsolete."
Bitcoin has repeatedly failed to break above $70,000 and remains near its lowest levels of 2024. Multiple risk factors — AI-related anxieties, a higher-for-longer interest rate outlook, and Middle East geopolitical tensions — are suppressing liquidity and deterring traditional market channels. Spot Bitcoin ETFs recorded outflows for a fourth consecutive week, indicating speculative and unsustainable inflows. Crypto futures open interest sits roughly 60% below its all-time high, with Bitcoin futures down 54%, reflecting diminished derivatives engagement. On-chain data show cautious whale accumulation that helped prevent a drop below $60,000 but remains slow and fragile against sizable selling pressure.
Read at London Business News | Londonlovesbusiness.com
Unable to calculate read time
Collection
[
|
...
]