Irmaπ Bitcoin touched $69,000 before swiftly retracing to $61,000 amid dwindling supply. Is scarcity the key reason?
π March 4 saw Bitcoin hitting a new all-time high of $68,869.87, driven partly by scarcity as nearly 50,000 BTC were withdrawn from exchanges in February.
π Institutional investors, or "whales," are also contributing to Bitcoin's scarcity, with Glassnode reporting a 4% increase in entities holding at least 1,000 Bitcoins in February.
πΌ Exchange-traded funds (ETFs) have further reduced Bitcoin's available supply, with spot funds holding almost 4% of all unlocked BTC supply.
πΌ The integration of WhiteBIT with Near Protocol, enabling mining of Near's HOT token and free withdrawals of USDT and USDC, is impacting the market.
π Bitcoin retested $67,439 after a swift consolidation, with the sell-off accompanied by opening of long positions indicated by the Relative Strength Index (RSI) rate.
π° The sale caused vast liquidations, with over $84 million lost by Bitcoin investors in the past 12 hours and 301,340 traders liquidated for $1.11 billion over the day.
βοΈ Scarcity remains crucial for Bitcoin, with reduced exchange supply suggesting decreased selling pressure and a potential shift towards long-term holding.
