Bitcoin Bottom Signal Reappears As Liquidity And ETF Flows Complicate Outlook
A Bitcoin bottom signal that previously preceded a powerful rally has reemerged, but shifting liquidity dynamics and deteriorating fund flows suggest that any recovery may unfold far differently from the surge witnessed in 2024. Market observers are closely watching on-chain and macroeconomic indicators, as historical risk models now show conditions resembling those that marked the end of the prior major correction cycle. On-Chain Metrics Flash Familiar Warning Data from Swissblock shows Bitcoin has spent 25 consecutive days in its “extreme high risk” zone, surpassing the 23-day stretch recorded in 2023 before prices rebounded sharply. Historically, such prolonged stays in elevated
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