In the ever-shifting landscape of cryptocurrency, Santiment, the pertinent on-chain analytics platform, has now relayed valuable insights for those investors entertaining thoughts of purchasing the latest Bitcoin dip. However, it underscores the sobering possibility that the flagship cryptocurrency’s ordeal may not be over just yet. There looms the potential for further plunges in Bitcoin’s current price range.
Santiment cautioned prospective investors through an X post that despite anticipations of a market rebound, it’s essential to tread carefully. The recent pivotal plunge Bitcoin weathered is typically succeeded by an influx of Fear, Uncertainty, and Doubt, colloquially termed as FUD, amongst investors. In the wake of such dramatic declines, investors, gripped by panic, may hastily offload their holdings once Bitcoin exhibits signs of recovery.
This information paints a daunting picture for those contemplating purchasing the Bitcoin dip, since certain circles are hinting that Bitcoin’s value could further tumble towards the $40,000 range. Comments of this nature are inclined to bear negatively on Bitcoin’s price, further deepening its descent.
Santiment, however, asserted that history has shown Bitcoin usually rebounds from such drastic declines once the average trader abandons their faith in cryptocurrency. Offering an additional viewpoint, renowned crypto analyst CrediBULL Crypto passed on some counsel for those looking to capitalize on Bitcoin’s prevailing price range. His insight? One must be prepared to metaphorically go “underwater” for a while. Put plainly, those willing to endure a period of losses would be prudent to buy at the current price.
Spot Bitcoin buyers were offered reassurance by the expert that fretting over the current price drop is futile, with the reasoning being Bitcoin could potentially descend further on a higher time frame (HTF), without negating the established HTF bullish structure. Drawing upon this structure, he predicted that the price correction ushered in by this downtrend could propel Bitcoin all the way to the astronomical heights of $100,000.
Moreover, recent data indicates that institutional investors are seizing the opportunity to purchase the dip in Bitcoin’s value. Figures from July 8 infer that Spot Bitcoin ETFs observed total net inflows of a staggering $294.8 million. The tableau of key institutions, namely BlackRock’s IBIT, Fidelity’s FBTC and Grayscale’s GBTC, all reported remarkable net inflows, standing at $187.2 million, $61.5 million, and $25.1 million respectively.
Indeed, a total net inflow of $143 million was recorded on July 5. This was a notable turning point, given the two sequential days of outflows forecasted prior. These newfound inflows into Bitcoin have directly influenced the currency’s recent price resurgence.
As it stands, Bitcoin’s current trading price hovers around $57,100, with substantial increases of over 2% in the last 24 hours alone as per data from CoinMarketCap. As the world of cryptocurrency continues to twist and turn, Bitcoin eagerly awaits its future on the financial rollercoaster.
