Jakarta, Pintu News – Bitcoin’s (BTC) price drop below $90,000 has sparked concern among investors and market analysts. The drop comes amid declining expectations of corporate buying and outflows from exchange-traded funds (ETFs). This has caused the crypto market’s fear and greed index to reach an extreme of 11, signaling a very high level of fear among investors.
Jamie Elkaleh, Chief Marketing Officer at Bitget Wallet, points out that the $800 million forced liquidation is indicative of the excessive use of leverage in the crypto market. A more stable stock market thanks to income diversification and macroeconomic stability stands in stark contrast to the crypto market which exhibits stress more dramatically and transparently.
The analytics team from Bitcoin yield protocol, TeraHash, emphasized that ETF fund flows are an important indicator for Bitcoin (BTC) price. They noted the record outflow of $523 million from the BlackRock Bitcoin ETF as a sign of falling demand. At the peak of the inflow at the end of the second quarter, spot ETFs for Bitcoin attracted around $600-$700 million daily, which drove the price to surge past $115,000 and peak above $126,000.
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Despite the significant drop, crypto market analysts predict that Bitcoin will stabilize in the range of $89,000 to $95,000. Factors such as excessive leverage, profit-taking by whales, and lower expectations for corporate accumulation are thought to be the main causes of the current price decline. However, there is no indication that this is a broader structural collapse in the crypto market.
Although the market is currently experiencing uncertainty, analysts suggest that this is an adjustment phase after a period of very rapid growth in the first half of the year. Investors are advised to watch market indicators such as ETF flows and corporate activity to get a clearer picture of the future direction of the Bitcoin market.
The main causes include large forced liquidations, decreased demand for ETFs, and lower expectations for corporate buying.
The crypto market fear and greed index is currently at an extreme 11, indicating a very high level of fear.
Analysts predict that Bitcoin (BTC) will stabilize in the range of $89,000 to $95,000.
No, according to analysts, this price drop does not reflect a broader structural collapse, but simply the need for the market to adjust after a period of rapid growth.
ETFs are an important indicator for the price of Bitcoin, with fund flows in and out of ETFs directly affecting price dynamics.
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