Bitcoin Struggles as Interest from New Buyers Remains Lukewarm
Bitcoin[BTC] has faced a challenging period as sellers maintain control in the current market landscape. Over the past day, the digital currency experienced a 1.45% decline, with its trading price hovering around $96,800.
While the surge in new BTC investors has been a key factor in driving the asset’s recent upward trajectory, there has been a noticeable slowdown in buying interest from this demographic. Nonetheless, overall market sentiment has remained positive.
Influx of Fresh Investors Sustaining BTC Levels
Since the beginning of 2025, there has been a notable increase in new investors entering the BTC market, contributing to the prevailing bullish sentiment. This trend was identified through the New and Old Bitcoin Supply Ratio on CryptoQuant.
This ratio gauges the volume of BTC acquired within the past one week to six months compared to that purchased six to twelve months ago.
A surge in this ratio, depicting the purple cloud crossing over the dotted line on the chart, signals heightened activity from new investors acquiring the cryptocurrency. Such occurrences typically align with price surges.
When the purple cloud remains above this threshold, it indicates a sustained bullish trend for BTC’s price with potential for further appreciation.
Key Contributors, Specifically U.S. Investors, Exhibiting a Downtrend
Analysis suggests that the increased adoption of BTC among new market participants primarily stemmed from U.S. investors.
Tracking the Coinbase Premium Index revealed significant buying interest from this segment. However, the index has been gradually decreasing while still holding in positive territory.
Although this indicates a bullish stance, the decline implies a slowdown in buying momentum, as the index dropped from 0.129 to 0.010.
The recent dip in transactions over the last 24 hours, totaling 21,140, correlates with this decline.
Further insights reveal that these transactions involved 606,570 BTC, valued at $59.1 billion.
A marginal price reduction amid such high trading volumes suggests a balance between buying and selling pressure. This scenario hints at underlying bullish prospects despite ongoing sell-offs.
Anticipating a Potential Rebound Soon
The Funding Rate, an indicator of market sentiment, hints at a potential upswing for BTC in the near term.
Currently, the collective Funding Rate of BTC across various exchanges has turned positive, signaling a likelihood of a significant market rally, as more long contracts are willing to pay to uphold its price.
Analysts anticipate a substantial recovery for BTC following a period of negative Funding Rate. Should this forecast materialize, it could propel Bitcoin’s value back above the $100K mark once again.