Recent data indicates a significant decline in demand for Bitcoin, raising concerns about potential price corrections. Institutional and retail investors behave differently, creating market uncertainty.
Declining Demand for Bitcoin
According to the latest report from CryptoQuant, Bitcoin demand is at an all-time low. ETF inflows have plummeted by 60% since April, indicating a decline in interest from institutional investors and a halving of whale accumulation. The effectiveness of CryptoQuant’s demand momentum tracker has also hit low levels, exacerbating concerns of a potential correction to the $92,000 or even $81,000 ranges.
Market in Transition
Different analysts view the current stagnation differently. Glassnode contends that the decline in retail demand could signal a more mature market where large investors remain active. In the last 10 days, 231 new wallets with more than 10 BTC have emerged, while smaller wallets have decreased by over 37,000. This situation raises concerns, as CryptoQuant analyst Julio Moreno noted: 'When ETF flows and retail interest both fall, we lose the demand engine that typically powers bullish moves.'
Technical Levels and Predictions
From a technical perspective, Bitcoin faces immediate resistance at $105,150. If bulls cannot push through this level, a decline is expected, especially if demand remains thin. Support is located at $101,000 and then more decisively at $92,000, which CryptoQuant calls the critical downside target. Some estimates suggest that a sharp drop is unlikely unless ETF flows and macroeconomic factors worsen quickly.
As the market responds to changes in demand and investor preferences, the central question remains whether institutional accumulation can offset retail withdrawals. Coming weeks will reveal if the current situation is a temporary pause or a precursor to more significant changes for Bitcoin.
