More

    Bid Side In Bitcoin Disappears Amidst Jittering “Macro Environment”

    Bitcoin is trading more than $10,000 per coin less than the current high, after according to one crypto analyst, the “bid” side of market has disappeared, exposing the cryptocurrency’s current weakness.
    The lack of buying currently could be due to what another analyst calls a jittering macro environment, referencing the stock and bond markets that have seen volatility as of late.  Here’s what else is going on in both traditional and crypto markets that could have investors waiting to pull the trigger currently.
    Bitcoin Bid Side Weakens, But There’s Still No Sellers To Be Found
    The ongoing Bitcoin uptrend has been largely driven by natural supply and demand dynamics, exacerbated by a limited and ever diminishing supply.
    Related Reading | Coinbase Bitcoin Outflows Are The Strongest Bullish Signal “Ever”
    At 21 million BTC total and what few coins come into the market slashed in half every four years, price appreciation has always been in the cryptocurrency’s favor, and will continue to be so.

    Kinda crazy how weak $BTC is at the moment.
    There’s little to no resistance, but there’s just no bid either. pic.twitter.com/YmY6Ayx8W9
    — Byzantine General (@ByzGeneral) February 26, 2021

    But as strong as the cryptocurrency’s uptrend has been, a complete lack of “bid side has left Bitcoin “weak,” according to one crypto analyst’s take on the order books of top exchanges.
    The same analyst says there’s no resistance, either, simply due to the lack of ask side of the market as well. But without bids, Bitcoin still can’t go up and is at risk of a deeper correction.

    The “jittering macro environment” could be weakening the cryptocurrency’s advance | Source: BTCUSD on TradingView.com
    Massive Institutional Demand Unfazed, Despite “Jittering Macro Environment”
    Each passing week, Coinbase outflows have topped 10,000 BTC or more, and even this week during the selloff, another 13,000 BTC left the cryptocurrency exchange.
    The selling, according to Crypto Quant CEO Ki Young Ju, is not due to miners, or a lack of demand, but a “jittering macro environment.” Ju points to the recent volatility in “the 10-year Treasury note” as one of the accompanying macro economic factors.
    Elsewhere in markets, the resurgence of GameStop shares has the stock market cautious once again. The recent downside could have been due to large investors derisking and lowering leveraged positions.
    Related Reading | Why March Is The All Time Bloodiest Month In Bitcoin History
    Bitcoin as a speculative asset is highly susceptible to macro economic factors driving overall market sentiment. Any “jittering” elsewhere has left the cryptocurrency with $10,000 less per coin after the pullback from recent highs. Things could also get worse before they get better, as March is the worst month in the crypto asset’s short ten year history.
    However, if institutional demand stays as high as it has been, the lack of supply could even eventually outweigh any macro issues limiting price action currently.
    Featured image from Deposit Photos, Charts from TradingView.com

    Related articles

    Comments

    LEAVE A REPLY

    Please enter your comment!
    Please enter your name here

    Share article

    Latest articles

    Newsletter

    Subscribe to stay updated.

    bitcoin
    Bitcoin (BTC) $ 63,048.00
    ethereum
    Ethereum (ETH) $ 2,316.79
    binance-coin
    Binance Coin (BNB) $ 548.79
    xrp
    XRP (XRP) $ 1.67
    tether
    Tether (USDT) $ 0.997944
    cardano
    Cardano (ADA) $ 1.37
    polkadot
    Polkadot (DOT) $ 40.60
    uniswap
    Uniswap (UNI) $ 33.44
    litecoin
    Litecoin (LTC) $ 258.37
    dogecoin
    Dogecoin (DOGE) $ 0.121601
    chainlink
    Chainlink (LINK) $ 35.23
    bitcoin-cash
    Bitcoin Cash (BCH) $ 765.29
    stellar
    Stellar (XLM) $ 0.599150
    theta-token
    Theta Network (THETA) $ 11.78
    usd-coin
    USD Coin (USDC) $ 0.993244
    filecoin
    Filecoin (FIL) $ 164.58
    vechain
    VeChain (VET) $ 0.158231
    tron
    TRON (TRX) $ 0.133098
    wrapped-bitcoin
    Wrapped Bitcoin (WBTC) $ 63,035.00
    klay-token
    Klaytn (KLAY) $ 2.84
    eos
    EOS (EOS) $ 7.13
    solana
    Solana (SOL) $ 24.91
    crypto-com-chain
    Crypto.com Coin (CRO) $ 0.240637
    terra-luna
    Terra (LUNA) $ 15.31
    compound-ether
    cETH (CETH) $ 46.50
    monero
    Monero (XMR) $ 313.55
    iota
    IOTA (MIOTA) $ 2.01
    cosmos
    Cosmos (ATOM) $ 23.11
    okb
    OKB (OKB) $ 20.34
    bitcoin-sv
    Bitcoin SV (BSV) $ 285.72
    binance-usd
    Binance USD (BUSD) $ 0.991985
    bittorrent-2
    BitTorrent (BTT) $ 0.007661
    aave
    Aave (AAVE) $ 392.52
    ftx-token
    FTX Token (FTT) $ 54.44
    tezos
    Tezos (XTZ) $ 6.21
    avalanche-2
    Avalanche (AVAX) $ 36.18
    neo
    NEO (NEO) $ 64.11
    elrond-erd-2
    Elrond (EGLD) $ 232.01
    compound-usd-coin
    cUSDC (CUSDC) $ 0.021763
    kusama
    Kusama (KSM) $ 442.02
    algorand
    Algorand (ALGO) $ 1.41
    huobi-token
    Huobi Token (HT) $ 20.32
    nem
    NEM (XEM) $ 0.399599
    pancakeswap-token
    PancakeSwap (CAKE) $ 22.55
    thorchain
    THORChain (RUNE) $ 14.31
    cdai
    cDAI (CDAI) $ 0.021228
    holotoken
    Holo (HOT) $ 0.017329
    dai
    Dai (DAI) $ 0.995889
    hedera-hashgraph
    Hedera Hashgraph (HBAR) $ 0.367169
    havven
    Synthetix Network Token (SNX) $ 18.79