Bitcoin Faces 60% ETF Inflow Drop, Whale Accumulation Halved

Bitcoin (BTC), the leading cryptocurrency, has been experiencing volatility due to the ongoing conflict between Israel and Iran. Despite recent price movements within a narrow range, analysts at CryptoQuant have issued a warning about the potential for a significant downside for Bitcoin.

According to CryptoQuant, if the current trend of declining demand persists, Bitcoin could plummet to as low as $92,000. This warning comes as spot Bitcoin ETF inflows have decreased by over 60% since April, indicating a bearish trend for the cryptocurrency. Additionally, whale accumulation has halved, further supporting the notion of waning demand.

Short-term investors have also contributed to the downward pressure, selling approximately 800,000 BTC since the end of May. This selling spree, combined with the decrease in ETF inflows and whale accumulation, has led to a significant drop in CryptoQuant’s demand momentum indicator, which has reached a negative 2 million BTC—its lowest level ever recorded.

CryptoQuant’s analysts have cautioned that if demand continues to decline, Bitcoin could potentially fall to $92,000. In a worst-case scenario, the cryptocurrency could even drop to $81,000. These warnings underscore the importance of monitoring demand indicators and market sentiment in assessing the future trajectory of Bitcoin’s price.