1
6
Bitcoin ($BTC) has been on an upward trend since the beginning of the week, with the price rising above $82,000.
This situation looks strong for $BTC at first glance. However, according to Bitfinex analysts, the recent move may be more of an attempted uptrend than a true rally.
In their latest report, Bitfinex analysts stated that although Bitcoin has risen above $80,000, it is still not positioned for an upward move, and demand is not strong enough to support the rise.
Underlying demand is improving, driven by steady inflows from spot ETFs and continued accumulation by institutions like Strategy. However, demand is not yet strong enough to absorb the excess supply and confirm a sustainable breakout.
At this point, according to analysts, given market conditions, it seems more likely that Bitcoin will move negatively rather than positively.
“…due to the lack of a clear liquidity headwind and the continued geopolitical risk in the Middle East, Bitcoin needs strong demand from the spot market to definitively rise.”
Analysts argue that a close above $84,766 is necessary for the uptrend to continue, while a drop below $78,000 would invalidate the rally.
*This is not investment advice.
coindesk.com
theblock.co