Bitcoin (BTC) is experiencing heightened volatility once again. Over the past 24 hours, the leading cryptocurrency has declined by 4.11%, trading at approximately $79,286 at the time of writing. The weekly loss stands at 5.12%, underscoring the mounting pressure and uncertainty among market participants. Despite solid liquidity, transaction volumes remain below recent averages, painting a complex picture for investors.
According to data from CoinGecko, Bitcoin’s 24-hour trading volume hovers around $73.4 billion, showing sufficient liquidity in the market. However, the volume is notably lower than the 7-day average, suggesting a dip in trading enthusiasm. Meanwhile, circulating supply has reached 19,847,671 BTC — a key figure that continues to inch closer to the total capped supply.
Turkish NY Radio reports that the sentiment among traders remains divided, with on-chain indicators offering conflicting signals.
Exchange Reserves Rise, Selling Pressure Builds
On-chain data from CryptoQuant reveals a notable increase in Bitcoin reserves held by centralized exchanges. This shift often signals a rise in potential sell-side activity. The trend indicates that many investors have started transferring their BTC to exchanges, potentially in preparation for liquidation.
Adding to this concern is the drop in “Exchange Netflow Total,” a metric that tracks the flow of Bitcoin in and out of exchanges. The netflow has been lower than the weekly average, hinting at overall investor caution. This sluggish flow suggests that despite the rise in reserves, the pace of trading remains subdued — a signal that traders are holding back amid ongoing market ambiguity.
Investor Sentiment: Neutral to Anxious
The Net Unrealized Profit and Loss (NUPL) indicator shows that most Bitcoin holders are sitting on modest unrealized profits. However, this mid-range positioning often corresponds with a psychological phase of “anxiety” — where investors remain unsure whether to sell or hold. Such periods typically coincide with diminished market confidence and directional uncertainty.
Turkish NY Radio highlights that this phase has historically preceded either sharp recoveries or deeper corrections, making it a key moment for traders to stay informed and cautious.
Technical Outlook: RSI Suggests Oversold Conditions
From a technical analysis standpoint, the Relative Strength Index (RSI) is currently near oversold territory. This momentum-based indicator suggests that BTC may be undervalued in the short term, possibly opening the door for a rebound. Historically, such RSI levels have aligned with temporary price recoveries, particularly in periods of broader market pessimism.
Still, without strong bullish catalysts, any recovery could be short-lived, especially if macroeconomic risks or regulatory pressures resurface.
As the market balances between caution and opportunity, traders and long-term investors alike are watching both price action and on-chain trends closely for signs of a shift in momentum.
