Bitcoin ignores historic dollar breakdown: How long can this calm last?

The post Bitcoin ignores historic dollar breakdown: How long can this calm last? appeared on BitcoinEthereumNews.com. Key Takeaways Net outflows and bearish derivatives may signal upcoming volatility and Bitcoin’s market shift. Whale inactivity and weakening stock-to-flow narrative limit bullish conviction despite macro support. The U.S. Dollar Index [DXY] has dropped 6.5 points below its 200-day moving average, the largest deviation in 21 years, yet Bitcoin [BTC] has failed to respond.  Historically, such extreme dollar weakness has preceded a capital rotation into risk assets like Bitcoin, as investors flee depreciating fiat.  However, the king coin has remained range-bound, suggesting hesitation in market sentiment despite the macro setup favoring a breakout.  The disconnection between traditional risk indicators and crypto price action raises questions about what might be delaying a response, especially as other on-chain and derivative metrics begin to shift. Source: CryptoQuant Is there a silent accumulation? Bitcoin recorded $24.56 million in net outflows, continuing a trend of declining spot reserves across centralized exchanges. Sustained outflows typically indicate investor preference to hold coins off-exchange, reducing immediate sell pressure.  This behavior often aligns with accumulation phases, especially when it coincides with macroeconomic instability like dollar weakness.  While the current scale of outflows remains moderate compared to past rallies, the consistency suggests that investors are positioning themselves cautiously, possibly anticipating a volatility event. Source: CoinGlass Bearish crowd grows louder On Binance, 62.6% of BTCUSDT perpetual traders held short positions at press time, pushing the Long/Short ratio down to 0.60. This marks a strong bearish bias, which could act as fuel for a sudden reversal.  Historically, such imbalances have triggered short squeezes when market momentum shifts, forcing shorts to cover and accelerating price jumps. Although price action has remained subdued, the skewed ratio reflects mounting tension.  Therefore, traders should remain alert to sudden volatility, as the current derivative landscape could amplify upward moves with little warning. Source: CoinGlass Why are whales…

Jul 10, 2025 - 08:00
 0  0
Bitcoin ignores historic dollar breakdown: How long can this calm last?

The post Bitcoin ignores historic dollar breakdown: How long can this calm last? appeared on BitcoinEthereumNews.com.

Key Takeaways Net outflows and bearish derivatives may signal upcoming volatility and Bitcoin’s market shift. Whale inactivity and weakening stock-to-flow narrative limit bullish conviction despite macro support. The U.S. Dollar Index [DXY] has dropped 6.5 points below its 200-day moving average, the largest deviation in 21 years, yet Bitcoin [BTC] has failed to respond.  Historically, such extreme dollar weakness has preceded a capital rotation into risk assets like Bitcoin, as investors flee depreciating fiat.  However, the king coin has remained range-bound, suggesting hesitation in market sentiment despite the macro setup favoring a breakout.  The disconnection between traditional risk indicators and crypto price action raises questions about what might be delaying a response, especially as other on-chain and derivative metrics begin to shift. Source: CryptoQuant Is there a silent accumulation? Bitcoin recorded $24.56 million in net outflows, continuing a trend of declining spot reserves across centralized exchanges. Sustained outflows typically indicate investor preference to hold coins off-exchange, reducing immediate sell pressure.  This behavior often aligns with accumulation phases, especially when it coincides with macroeconomic instability like dollar weakness.  While the current scale of outflows remains moderate compared to past rallies, the consistency suggests that investors are positioning themselves cautiously, possibly anticipating a volatility event. Source: CoinGlass Bearish crowd grows louder On Binance, 62.6% of BTCUSDT perpetual traders held short positions at press time, pushing the Long/Short ratio down to 0.60. This marks a strong bearish bias, which could act as fuel for a sudden reversal.  Historically, such imbalances have triggered short squeezes when market momentum shifts, forcing shorts to cover and accelerating price jumps. Although price action has remained subdued, the skewed ratio reflects mounting tension.  Therefore, traders should remain alert to sudden volatility, as the current derivative landscape could amplify upward moves with little warning. Source: CoinGlass Why are whales…

What's Your Reaction?

like

dislike

love

funny

angry

sad

wow