Demand for Bitcoin continues to decline, creating a notable gap between price and buying pressure. Let’s take a closer look at the current market state.
Low Demand with High Price
According to CryptoQuant data, Bitcoin demand has reached historic lows, falling below the -2 million BTC mark. While prices remain above $100,000, the significant drop in demand indicates a clear divergence between price and underlying buying pressure. Data shows that the 30-day Bitcoin demand momentum has turned sharply negative, reflecting investors' high reluctance to enter the market at these price levels.
Exchange Reserves State
The total Bitcoin held by exchanges dropped to 2.4 million BTC, marking a multi-year low. This drop typically indicates long-term accumulation but currently coincides with deteriorating demand momentum. The total amount of Bitcoin held by public companies exceeds $87 billion, constituting about 3.2% of the total supply.
Critical Support Levels
The current Bitcoin support zone is between $94,000 and $97,900, as determined by the 111-day and 200-day moving averages. These levels have historically provided support for corrections. At this moment, Bitcoin remains well above this area; however, as the current negative trend in demand continues, the likelihood of retesting these levels is increasing.
The decline in Bitcoin demand and changes in supply structure have highlighted significant shifts in the market. Future price movements will depend on changes in demand and investor activity.
