Bitcoin (BTC) faces obstacles to overcome its historical USD 111,900 records due to insufficient demand.
Currently, the price of BTC is at 109,545 dollars, just over USD 1,500 of a new record, as can be seen below:
However, The price does not end the barrier. Something that attracts attention because there is an important institutional demand on the asset.
According to the data From Cryptoquant, BTC’s general demand contracted significantly, decreasing by 895,000 bitcoin in the last 30 days.
As they see from that analysis company, although institutional purchases are a fundamental part of the price of BTC, the growth of net demand is slowing down, as seen in the following graph.
Low demand limits the bunder impulse of prices. “And keeps the asset in a consolidation phase instead of feeding a bullish break,” says analysts.
For their part, specialists from the SWISSBLOCK firm, show that Bitcoin’s cash volume reflects a sustained lack of interest, as can be seen below.
This is so, despite recent increases in the price of the currency, cash purchases are negative, indicating that BTC increases lack real support.
Without a solid base of buyers, any attempt at bullish rupture loses strength, they say. And they add that “buyers are needed to sustain the price break.”
The Bitcoin Vector organization, meanwhile, Look That, although the price structure shows bullish signals, “the positive impulse is not yet consolidated.” “Without impulse, the bulls lack the force to break the resistance and endure up to a new ATH,” analysts point out.
All of the above highlights the need for a constant flow of new buyers to counteract the selling pressure and thus Go to Bitcoin’s price towards new historical maximums.
Retailers don’t look for Bitcoin (still)
Now, the need for retail demand is just at a time when it remains weak. A key way to determine this is by searching in Google of “Bitcoin.”
As can be seen in the following graph, this indicator is at a low level, over 18 points, at 2017 levels.
The low retail interest for BTC has been felt for months. Last May, the balances of individual investors fell in 247,000 BTC, while companies added 157,000 BTC to their balance sheets, governments incorporated 19,000 BTC and the ETCs added 49,000 BTC, as cryptootics reported.
From that moment, Bitcoin’s “corporatization”with great financial actors consolidating their domain while small investors retreated.
The bullish expectation is maintained
While it is true that the absence of retail buyers limits the potential of a sustained rebound, the expectations of a rise persist. The British Bank Standard Chartered projects that BTC could reach $ 135,000 this quarter, as cryptootics reported.
Likewise, the Bitwise investment firm predicted that Bitcoin will reach $ 200,000 this year, product of a growing institutional demand that, according to them, is excessive to keep stable prices for a long time. “
However, this goal depends on a change in current dynamics. Cryptoquant data show that the fall in apparent demand counteracts institutional purchases, limiting the bullish potential. Without an increase in cash volume and greater participation of buyers, The price faces significant barriers.
