The cryptocurrency market has been underperforming since January, despite a moderate stance from the U.S. government towards digital currencies. Bitcoin’s price has declined from the $82,000 range ahead of the Federal Reserve’s interest rate decision and is currently experiencing sluggish movement. As market sentiment remains neutral, there is a growing consensus that Bitcoin needs a catalyst to break out of its consolidation phase. Meanwhile, discussions about the end of the bull season have resurfaced due to weak market movements on March 18, although data indicates that capital inflows into the cryptocurrency market are still ongoing.
Matrixport: Capital Inflows into the Crypto Market Persist
Matrixport, an Asia-based crypto financial institution, recently shared an analysis highlighting the continued flow of stablecoin investments. By examining the growth rates of the stablecoin USDT, they confirmed that the upward trend is still intact. Despite a projected slowdown in stablecoin growth rates in Q4 2024, the current upward momentum signals that capital continues to flow into the cryptocurrency market. Matrixport also noted that the European MiCA regulatory framework, expected to be fully implemented by 2025, has impacted USDT funds, but there has not been a significant outflow. Despite challenges such as reserve asset requirements and limited usage, there has been a steady increase in stablecoin inflows. This data suggests that rising demand for Bitcoin could potentially elevate its price.
Glassnode: Early Signs of Bitcoin Accumulation Trend
On-chain analytics firm Glassnode reported an increase in purchases during the recent Bitcoin price decline, stating that the Bitcoin Accumulation Trend Score (ATS) has risen above 0.1 since March 11. The price of BTC has fluctuated between $80,000 and $84,000 during this period.
The metrics provided by Glassnode analyze investor accumulation of BTC, with a high ATS score indicating a growing buying trend. They commented that while distribution pressures remain dominant, changes in the ATS score are early signs of accumulation, boosting optimism regarding Bitcoin demand.
Rising Bitcoin Futures Volume!
In a recent update, Glassnode examined the differences in futures trading volumes for Bitcoin and Solana compared to Ethereum. According to the data, Bitcoin futures volume started the year at $60 billion and has currently reached $63 billion year-to-date (YTD). Although the current futures volume of $57 billion is lower than the peak in December, it indicates a strengthening market trend.
Will the Bitcoin Bull Market Return? What is the Worst-Case Scenario for BTC?
In the last 24 hours, Bitcoin’s price has dropped by 2%, falling below $82,000, and is currently trading between $81,700 and $82,000. High volatility is expected for Bitcoin’s price ahead of the FOMC meeting (March 18-19). However, there is an optimistic sentiment surrounding potential weekly price fluctuations for BTC.
Crypto analyst SuperBitcoinBro discussed the worst-case scenario for BTC, noting a decline attributed to the FOMC’s influence. The analyst believes Bitcoin is poised to close March in positive territory, suggesting that in the base case, BTC could drop to the range of $71.3 to $73.8. The fundamental scenario indicates a higher drop within the $78,000 to $80,000 range.
If Bitcoin successfully closes March positively, it could replicate the performance seen at the beginning of 2025. While the overall market sentiment remains optimistic, how BTC closes at the end of the month following the Fed meeting will be crucial.
If the Uptrend Continues, Bitcoin Bull Could Be the Top Pre-Sale
Should Bitcoin’s uptrend persist, one of the meme coins expected to perform best is Bitcoin Bull (BTCBULL). This meme coin, which will rise alongside Bitcoin’s price movements, plans to implement token burning and airdrop events for every 25% increase above $100,000. BTCBULL aims to reward token holders through airdrop events, positioning itself as one of the best investment tools in the meme coin market.
In addition to airdrops, the project offers an annual percentage yield (APY) of 113% for stakers, enhancing network security while incentivizing investors. Currently, during its pre-sale phase, Bitcoin Bull (BTCBULL) can be added to wallets at a price of $0.002415 through its official website. This meme coin offers a low-price advantage for early buyers, along with dynamic staking returns for higher passive income. Following its launch, Bitcoin Bull is expected to rapidly increase in value as it reaches a broader user base.
