Bitcoin downward pressure ‘abated’ as sell-side markets shrink
Bitcoin’s price may not experience significant downward movement in the short term, as sell-offs on crypto exchanges are “shrinking at a rapid pace,” Bitfinex analysts said.
Bitcoin has likely passed the worst of its downward pressure in the short term as the cryptocurrency has seen a steep decline in sellers on exchanges, according to crypto analysts.
“Bitcoin’s sell-side liquidity is shrinking at a rapid pace,” Bitfinex analysts said in a Jan. 6 markets report.
The analysts said that Bitcoin’s (BTC) liquidity inventory ratio — measuring how long Bitcoin’s current supply can meet demand across exchanges — has dropped from 41 months in October 2024 to just over 6.5 months.
Go to Source
Author: Ciaran Lyons
