Uncertain sentiment for Bitcoin at the end of February? Can the bull run avoid another drop to $90,000? Liquidity is building up on both sides of the spot price, with Bitcoin languishing in an increasingly narrow trading range, with last week’s upside breakout attempt being crushed following the Bybit hack.
Liquidity:
As can be seen from the current liquidity conditions on exchange order books, $94,700 and $92,500 are key levels this week.
Macro and policy:
Markets are awaiting the “final piece of the puzzle” this week, while U.S. inflation data continues to provide headwinds for risk assets. The personal consumption expenditures (PCE) index, the Fed’s so-called “preferred” inflation indicator, will be released on February 28. It will be released on the heels of last week’s stronger-than-expected initial jobless claims, which suggested that labor market conditions were weakening amid a resurgence in inflation indicators, and traders are closely watching its developments.
Unlike Bitcoin and altcoins, there is one asset that completely ignores the economic uncertainties of volatility: gold. The precious metal continues to reach new historical highs, with its daily closing price hitting an all-time high as of February 24.
On-chain data trends:
The data of short-term holders and long-term holders of Bitcoin have crossed paths again. The blue in the chart represents long-term holder data, while the yellow represents short-term holder data. Long-term holders (LTH) are characterized by accumulation during bear markets and partial profit-taking during bull markets, whereas short-term holders (STH) are the opposite; they are highly sensitive to price, engaging in chasing prices, panic selling, and leveraging trades, primarily speculating on prices and trading in swings, acting as amplifiers of market sentiment.
Retail investors holding 100 coins or fewer are buying in sync, while addresses holding more than 100 coins continue to experience significant outflows.
Trading Opportunity:
Continue to focus on the yellow area.
