While fund provider CoinShares suspects institutional investors to take profits for Bitcoin, Polkadot (DOT) can underline its strong performance in recent weeks. The market update.
The Bitcoin course is still in the crab – with a delicate negative sign
At the time of writing, the # 1 cryptocurrency is trading at $ 34,570. Within the last 24 hours, BTC has posted a minus of around 2 percent.
The Bitcoin rate for the past 24 hours. Left: trading volume in BTC. BTC was able to recover from the nightcap to USD 33,500 – but not much more.
In order for the bull to pick up again, the first step is to recapture the resistance at $ 35,000. Otherwise there is a risk of slipping to the next support at USD 33,770. You can find a detailed description of the bullish and bearish scenarios for the Bitcoin Era rate in the current rate analysis .
Are the „Instis“ pushing the Bitcoin rate?
The fact that the Bitcoin price is currently struggling to sustainably overcome the 35,000 US dollars could be accompanied by increased selling pressure from institutional investors, namely in the form of crypto investment funds. Fund provider Coinshares noted in its weekly asset flow report for the past week an inflow of 359 million US dollars into crypto funds – a level that was last achieved in the time before Christmas. However, funds already sold crypto assets for the second week in a row – above all Bitcoin – this time for the equivalent of 85 million US dollars. Coinshares is assuming profit-taking, who want to benefit from the recent sharp rise in the Bitcoin price.
Strong dollar = weak bitcoin?
Another explanation is provided by Coinshares with an allegedly increased Trade Weighted US Dollar Index. This metric, developed by the US Federal Reserve, determines the purchasing power of the US dollar by comparing it with a basket of 26 fiat currencies.