Bitcoin finished July on a strong note before losing momentum at the start of August with two straight daily closes below $63,000. The decline has raised fresh caution even as blockchain data points to steady buying around current price levels.<\/p>\n
That buying activity became clearer in recent on-chain data, which shows roughly 155,000 BTC moved into the $62,000 to $65,000 cost-basis range during the latest pullback. The zone now holds the largest concentration of supply across the market and represents about 0.7% of Bitcoin\u2019s circulating supply.<\/p>\n
According to the recent Bitfinex report, the supply cluster expanded<\/a> while prices declined instead of shrinking through broad selling activity. The report said the pattern suggests buyers absorbed selling pressure rather than existing holders leaving the market in large numbers.<\/p>\n The data also highlights different behavior between long-term and short-term holders during the recent decline. Long-term holders continued accumulating Bitcoin, while many short-term holders reduced positions near their purchase prices.<\/p>\n Despite those signs of accumulation, broader market activity has become more subdued. Bitcoin entered August after recording a 7.3% gain during July, which matched historical seasonal trends for the month. However, spot trading volumes have fallen to levels last seen in late 2023.<\/p>\n Institutional demand also weakened as U.S. spot Bitcoin exchange-traded funds recorded<\/a> a combined net weekly outflow of $61.5 million. That result ended three consecutive weeks of positive inflows and reflected softer demand from large market participants.<\/p>\n The options market has also turned more defensive as participants paid higher premiums for downside protection. Even so, implied volatility remains close to multi-year lows, suggesting expectations for relatively limited price swings.<\/p>\n Beyond market positioning, broader economic conditions continue influencing sentiment. Second-quarter GDP expanded 1.5%, while private domestic demand rose 3.9%, driven by consumer spending and AI-related investment.<\/p>\n Inflation also remains a focus after personal consumption expenditures prices increased at a 5.1% annualized pace. Meanwhile, the 10-year real yield reached 2.41%, placing it only nine basis points below a level some analysts consider important for non-yielding assets.<\/p>\n The post Bitcoin Holds Key Support as On-Chain Data Shows Fresh Accumulation<\/a> appeared first on CryptoPotato<\/a>.<\/p>","protected":false},"excerpt":{"rendered":" Bitcoin finished July on a strong note before losing momentum at the start of August with two straight daily closes below $63,000. The decline has raised fresh caution even as blockchain data points to steady buying around current price levels. That buying activity became clearer in recent on-chain data, which shows roughly 155,000 BTC moved […]<\/p>\n","protected":false},"author":0,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[4],"tags":[],"class_list":["post-208940","post","type-post","status-publish","format-standard","hentry","category-discovery"],"_links":{"self":[{"href":"https:\/\/mycryptomania.com\/index.php?rest_route=\/wp\/v2\/posts\/208940"}],"collection":[{"href":"https:\/\/mycryptomania.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/mycryptomania.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"replies":[{"embeddable":true,"href":"https:\/\/mycryptomania.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=208940"}],"version-history":[{"count":0,"href":"https:\/\/mycryptomania.com\/index.php?rest_route=\/wp\/v2\/posts\/208940\/revisions"}],"wp:attachment":[{"href":"https:\/\/mycryptomania.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=208940"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/mycryptomania.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=208940"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/mycryptomania.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=208940"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}Market Sentiment Turns More Cautious<\/h2>\n