[Analysis] Short-term Demand for Bitcoin Decreases... Possibility of Sideways Movement Increases

An analysis has emerged indicating that the short-term demand for Bitcoin (BTC) is decreasing.

On the 10th (local time), Glassnode stated on X, "The short-term demand for Bitcoin is weakening," adding, "The level of hot capital (capital activated in the last 7 days) has plummeted to $32 billion." This marks a 66.7% decrease from the peak recorded on December 12 last year (approximately $96.2 billion).

Additionally, the decrease in Bitcoin's trading volume and the low funding rate also indicate a decline in short-term demand for Bitcoin. Glassnode noted, "The 30-day average trading volume of Bitcoin is approaching the 365-day average," and "The perpetual futures funding rate for Bitcoin is also below the neutral value of 0.01%."

Bitcoin Exchange Trading Volume / Source=Glassnode

They further analyzed, "This shows that the capital flow in the market has decreased," and "The weakening of short-term demand for Bitcoin increases the possibility of a sideways phase or further adjustment."