BTC dropped by 64,000! 10x Research: Bitcoin may fall to $59,000

Bitcoin has experienced a significant price correction in recent days, falling sharply below the $67,000 level again this morning, with the lowest hitting $64,628. As of now, the price has temporarily fallen back to $65,000, and there is no obvious sign of a strong rise.

10x Research: Bitcoin may fall to $59,000

Markus Thielen, founder of the research institution 10x Research, pointed out in the latest report that he warned about the continuous decline in BTC currency prices. According to the report, if inflows into the Bitcoin spot ETF this week are lower than market expectations, the price of BTC may fall to $59,000.

According to Coindesk reports, in the week last week (3/11~3/15), the total inflow of U.S. Bitcoin spot ETFs hit a record high, reaching $2.6 billion. Notably, most of these net inflows occurred from Monday to Wednesday, a situation that pushed Bitcoin prices above $73,000 to a new all-time high.

On Thursday and Friday last week, spot ETFs only recorded net inflows of US$133 to US$198 million respectively, and BTC subsequently fell below US$65,000 over the weekend.

Markus Thielen reported on Monday that Bitcoin’s “real test” will come on Monday and Tuesday, if ETF inflows disappoint, Bitcoin’s correction Likely to continue, a drop to $59,000 is estimated to be possible, suggesting that BTC will fall by more than 10% from its current price.

While this view may not be widely accepted, inflows are expected to slow after the large price swings. According to our reversal indicator, the price may retrace to the $59,035 level, which would provide investors with a more attractive risk-reward ratio.

The report added that despite the possibility of a deeper correction, the cryptocurrency bull market is not over yet, "We can still believe that Bitcoin will rise significantly in the coming months, as the bull market is likely to continue. . If BTC recovers above $70,000, the rebound could open the door to a significant price increase."

Bloomberg Analyst: The popularity of Bitcoin spot ETFs is mainly driven by retail investors

Another It is worth noting that Bloomberg ETF senior analyst Eric Balchunas told Coindesk that most of the current demand for Bitcoin spot ETFs comes from retail investors rather than large institutions. He pointed out: "There may be some investment advisors out there, but for the most part, retail investors are definitely an important factor based on the size of the transaction."

According to data provided by Balchunas, the world's largest asset management giant BlackRock's Bitcoin spot ETF "IBIT" has an average of 250,000 transactions per day, with an average transaction size of 326 shares, about $13,000. Another issuer confirmed to him that the main demand is driven by retail investors.

BlackRock declined to comment. BlackRock’s IBIT has attracted more than $14 billion in assets in just two months after its listing in mid-January, making it the biggest winner among Bitcoin spot ETFs.

If the current capital inflows of Bitcoin spot ETFs mainly come from retail investors, then the recent sharp correction in BTC prices may make these retail investors unable to resist selling, which may push the price of Bitcoin to further fluctuate and fall.

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