Cryptoharian – Bitcoin (BTC) experienced a sharp decline to below US$ 95,000 on February 9, after reports emerged that China would impose tariffs on energy imports from the United States, including crude oil and liquefied natural gas.
However, the cryptocurrency strengthened again to US$ 97,000 on February 10 after US President Donald Trump responded by imposing a 25 percent tariff on steel and aluminum imports.
Although the price of Bitcoin has recovered, the interest of institutional or large investors has not shown a significant increase. Reporting from cointelegraph.com, several key indicators such as the flow of funds to Bitcoin ETFs and derivatives market data, show that purchases from large investors are still limited.
One of the key indicators, namely the 25 percent delta skew which measures the comparison between put and call options, is currently at 2 percent. From this data, it can be seen that market conditions are neutral, but weaker than -5 percent on February 1, when market optimism was higher.
In addition, demand for leveraged Bitcoin futures contracts is at its lowest point in four months. The annualized premium of Bitcoin futures has also fallen to 8 percent, much lower than 11 percent in early February and still below the bullish threshold of 10 percent.
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The main cause of the weakening interest of investors in Bitcoin does not seem to be due to internal crypto factors, but rather to uncertain global economic conditions.
For example, although an American company called Strategy bought a large amount of Bitcoin, with a total investment of US$ 742.3 million between February 3 and 9, the flow of funds to Bitcoin ETFs in America only reached US$ 204 million in the same period.
In addition, investors are increasingly cautious in taking risks. The yield on US government bonds fell from 4.78 percent a month ago to 4.5 percent.This means more investors are turning to assets that are considered safer.
