Bitcoin (BTC) is experiencing heightened volatility as the situation in the Middle East raises concerns. Despite this, demand from institutional investors remains strong.
Rise in Liquidations in the Crypto Market
Due to the increased volatility, over $513 million has been liquidated from the crypto market, with $421 million stemming from long traders. Nevertheless, crypto traders remain hopeful for an upcoming bullish rally, as indicated by the Bitcoin fear and greed index hovering around 68 percent.
Demand for Bitcoin from Institutional Investors
According to Coinpedia, the overall demand for Bitcoin by institutional investors remains high. Amid the ongoing bearish outlook, the Bitcoin balance on centralized exchanges has dropped to approximately 2.08 million at the time of this writing, down from 2.26 million on April 24, 2025. Major stakeholders, including BlackRock and Metaplanet, have been contributing to the decreasing supply of BTC on centralized exchanges.
Future of Bitcoin Price
Despite the choppy market, Bitcoin price has been forming a bullish continuation pattern. Following a 5 percent drop in the past 24 hours to retest a crucial support level around $103k, BTC has rebounded over 1 percent to trade around $105k during the mid-North American trading session. However, a consistent close below the support range between $103k and $101k could trigger further bearish sentiment in the coming weeks.
Bitcoin price is demonstrating high volatility in response to external economic factors, but the strong demand from institutional investors leads to hopes of a price recovery.
