Trading Activity Collapse
The daily spot trading volume for Bitcoin has dropped below $8 billion, the lowest level since October 2023, with BTC stabilizing around $77,000 ahead of the Federal Reserve's decision, as declining market depth amplifies volatility risks.
Institutional Divergence
A stark contrast is seen with a $7.2 billion accumulation strategy over eight weeks against outflows of $89.7 million from Bitcoin exchange-traded funds, along with a negative premium on Coinbase, indicating weak demand from retail investors in the U.S. despite corporate buying.
Market Structure Shift
Analysts point out that sellers sensitive to macro indicators have exited the market, reducing selling pressure but creating thin order books where small inflows can trigger larger price swings in the current low liquidity environment
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