Bitcoin is experiencing a price decline, yet traders are beginning to accumulate the asset, potentially anticipating an upcoming rally.
Bitcoin’s Falling Prices and Accumulation
Bitcoin, the largest cryptocurrency globally, is experiencing a decline in its trading levels, currently valued at just over $81,000. This represents a nearly 2% decrease over the past 24 hours. With Bitcoin trading close to its critical support levels, spot traders have begun to slowly accumulate the asset.
Spot ETF Outflows Slow Down
Recent data has shown a significant decrease in Bitcoin outflows from exchange-traded funds (ETFs) over the past month. After peaking with outflows of $1.01 billion on February 25, with total Bitcoin sales of $2.039 billion between February 25-27, investor selling pressure has cooled down. In the past 24 hours, $135.20 million was withdrawn from the market, with assets under management at $97.62 billion. Despite the slowdown in Bitcoin Spot ETFs selling, there have been significant liquidity inflows into Coinbase.
Weekly Support as a Key Factor
Even as Bitcoin regains strength in the market, market sentiment could shift. The next significant support level is at $74,000, a level that has held firm since January 2023 and has been a foundation for market rallies. If the price reacts positively and trends higher from this level, it could signal a major Bitcoin rally.
The Bitcoin market awaits signals as traders and investors maintain optimistic prospects amid slowed selling and continued asset accumulation. The $74,000 support remains critical in shaping the market's future trajectory.
