Darius Baruar
March 24, 2025 11:05
Bitcoin remains in the range as liquidity is dry, and macroeconomic factors affect price behavior. The encryption market had significant developments, including the end of the SEC lawsuit against Ripple.
Bitcoin (BTC) has been trading within a narrow range, reflecting the extensive tendency of liquidity drying in the market. According to a recent report from Bitfinex Alpha, the price of Cryptocurrency has fallen for a while before the opening of the week before the price is 4.2% higher. The movement was influenced by the optimistic news of the Federal Open Market Committee, but the subsequent ‘seller’ transaction emphasized the sensitivity of Bitcoin about macroeconomic factors.
Market dynamics and liquidity problem
Bitcoin’s current price behavior reflects the price of macro -sensitive assets with volatility compression and liquidity. The ‘Hot Supply’ metrics, which measure dumping participation, have recently signed 2.8%in December 2024 from 5.9%. This represents the cooling of speculative interest in which the coins are reduced and liquid capital exits the market. The inflow of daily exchange also decreased by more than 54% in cycle peaks, reflecting more appetite for more hesitation and short -term risks.
As Bitcoin integrates near the bottom of the range, significant price fluctuations will depend on new institutional flow and macroeconomic clarity on new liquidity conditions and central banking policies.
Macroeconomic factors
The US economy is facing pressure on pressure, contributing to fragile prospects with trade tension, slowing growth and prudent consumer sentiment. The Federal Reserve has recently adopted a waiting approach, as uncertainty has increased by maintaining the benchmark interest rate at 4.25–4.5%. Industrial production has soared in February due to defensive inventory stockpiles, but the Federal Reserve Bank does not indicate sustainable demand, but rather a temporary measure.
The major economic index of the Conference Committee has fallen for three consecutive months, emphasizing the weakness of the economic basics. It indicates that consumer expectations, new manufacturing orders and stock markets, especially in technology and small stocks are increasing. In addition, even after the Fed Conference, bond yields decreased, reflecting investors’ expectations for slowing growth and potential policy Pivot.
Important development of the encryption industry
The encryption industry has seen significant development last week to increase institutional support and regulatory clarity. Us Securities and Exchange Commission (SEC) officially withdrew its lawsuit against Ripple Labs, ending a long legal battle against XRP status. This movement triggered a 13%increase in price and renewed investor trust.
In another legal reversal, the US Treasury has lifted sanctions against Tornado cash after the court ruled that the initial ban was beyond the legal scope. This wins the privacy advocates on the limitations of financial surveillance and rule the discussion. In addition, President Donald Trump became the first US president to resolve the encryption summit, advocating the Stablecoin law, confirming strategic Bitcoin reserve forces and promising regulatory clarity.
This development reflects the maturity industry that enters the new legitimacy and growth stage.
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