Skepticism Surrounds Bitcoin Gains Amid Increased Exchange Inflows

user avatar

by Giorgi Kostiuk

2 years ago

Made with AI

  1. September Bears and Market Sentiment
  2. Exchange Inflows and Selling Activity
  3. Buyer Activity and Market Sentiment


    4. Despite recent gains in the value of Bitcoin (BTC), market sentiment remains skeptical. This is due to a surge in exchange inflows, hinting at profit-taking.

    September Bears and Market Sentiment

    Historically, September has been a challenging month for Bitcoin, often resulting in poor performance. This history is causing market jitters, despite the recent upswing. The general sentiment in the market remains bearish. The Bitcoin Fear and Greed Index stands at 33, indicating traders are preparing for a potential repeat of previous September price dips. A recent report by U.S. fund manager NYDIG suggested the market could be in a seasonal slump for the next month. The report also noted that Bitcoin has typically fallen by 5.9% in September.

    Exchange Inflows and Selling Activity

    Data from CryptoQuant shows a significant increase in Bitcoin inflows to spot exchanges on 9th September. This surge coincides with a recovery in BTC prices, suggesting profit-taking and anticipation of a bearish trend. The Spent Output Profit Ratio (SOPR) ratio on CryptoQuant has shifted above 1, indicating that traders are selling to realize gains. This could potentially halt Bitcoin’s gains.

    Buyer Activity and Market Sentiment

    In a typical crypto bear market, buying activity remains relatively low. This trend is currently evident on the Bitcoin daily chart. The Chaikin Money Flow has been negative since late August, indicating more selling than buying. Additionally, BTC has traded below the 200-day Exponential Moving Average for two weeks, suggesting a negative general market sentiment.

    Crypto traders are also focusing on the upcoming US Consumer Price Index (CPI) data. Positive inflation data could strengthen the case for the Federal Reserve easing interest rates, which could boost appetite for risk assets such as crypto. Despite the bearish signals, a positive sign emerged when spot Bitcoin exchange-traded funds (ETFs) flipped positive for the first time since late August. If the Bitcoin ETF data remains positive for the rest of the week, it could renew optimism among crypto traders and alleviate fears of a bear market.

Tier I

Sector: #18291

Sealed Cache Room

Resource Cache

Resource Cache

Tier I

Requires 25% Tier Progress to Claim
Meme Cache

Meme Cache

Tier I

Requires 50% Tier Progress to Claim
Equipment Cache

Equipment Cache

Tier I

Requires 75% Tier Progress to Claim

After collecting, caches will be stored in your inventory and can be opened with Keys.

Other news

AI Developers Call for Enhanced Cybersecurity Measures

chest

AI developers, including OpenAI and Anthropic, call for enhanced cybersecurity measures to combat the rising threat of AI-enabled cyberattacks on critical infrastructure.

user avatarJacob Williams

Analysts Predict Bitcoin Surge Could Benefit Shiba Inu

chest

Wall Street analysts predict that Bitcoin could reach 100,000 by the end of the year, which may positively impact Shiba Inu's price.

user avatarZainab Kamara

Shiba Inu SHIB Faces Price Correction After Brief Recovery

chest

Shiba Inu's price briefly reclaimed the 0000006 level but has since dipped to 0000005, indicating potential for further decline.

user avatarSon Min-ho

OpenAI Launches New Agentic Browser Feature for ChatGPT Work

chest

OpenAI has launched a new agentic browser feature in ChatGPT Work, allowing the AI to manage tasks on login-protected sites while maintaining session persistence.

user avatarAyman Ben Youssef

Surge in AI-Generated Vulnerabilities Threatens Bitcoin Security

chest

The Bitcoin Red Team reports a surge in AI-assisted vulnerability findings across Bitcoin projects, highlighting the urgency of addressing security flaws.

user avatarTando Nkube

Core Lightning Developers Issue Urgent Warning on Vulnerabilities

chest

Core Lightning developers issue critical warning to node operators about vulnerabilities in AI-generated security reports, urging prompt updates or offline operation to secure payment channels.

user avatarKofi Adjeman

Important disclaimer: The information presented on the Dapp.Expert portal is intended solely for informational purposes and does not constitute an investment recommendation or a guide to action in the field of cryptocurrencies. The Dapp.Expert team is not responsible for any potential losses or missed profits associated with the use of materials published on the site. Before making investment decisions in cryptocurrencies, we recommend consulting a qualified financial advisor.