Bitcoin News Today: Bitcoin OTC Supply Hits Record Low as Institutions Accumulate Amid Dollar Weakness and Bullish Momentum

Bitcoin’s supply on over-the-counter (OTC) desks has reached a record low, suggesting aggressive accumulation by large institutional investors amid favorable macroeconomic conditions. This trend is being driven by a weakening U.S. dollar, increased global liquidity, and a rally in gold prices as hedge funds shift capital away from traditional equities [1]. The reduced availability of Bitcoin on OTC desks is often seen as a precursor to significant price movements, historically occurring ahead of major bullish surges [1].

Mr. Wall Street, a prominent analyst in the space, noted that the current environment closely mirrors previous bullish setups where Bitcoin experienced sharp upward momentum following similar institutional buying behavior. The analyst highlighted that OTC desks are preferred by large players for their ability to execute large trades without causing excessive market noise [1]. The ongoing accumulation reflects long-term confidence among institutional investors and aligns with broader macroeconomic shifts [1].

From a technical perspective, Bitcoin recently broke above its EMA25 (Daily) and successfully retested the EMA50 (Daily), signaling strong buyer interest and confirming bullish momentum. Long positions taken below the EMA50 are now in profit, and traders are preparing for potential volatility as the U.S. session unfolds [1]. The analyst also noted the possibility of a sweep of the weekend lows, with buy orders being placed below the EMA50 to capitalize on potential dips [1].

Looking ahead, price targets have been set at $119,000, $123,000, and ultimately $140,000. These levels represent key liquidity zones that could attract significant market activity in the coming weeks. The targets are based on the alignment of bullish market structure and upcoming macroeconomic data, particularly U.S. labor reports [1]. With the Federal Reserve shifting its focus toward labor market indicators due to distortions in inflation data, the upcoming PMI data and weekly unemployment claims are expected to inject additional volatility into the market [1].

Analysts suggest maintaining long positions and using pullbacks as opportunities to accumulate, mirroring the strategy of institutional actors in the current market environment [1]. As Bitcoin continues to show signs of institutional support and favorable macro conditions, the stage is set for a potential multi-leg rally in the near term.

Source: [1] Is BTC Set for $140K? Institutions Accumulate as Liquidity Surges and Dollar Falls (https://coinmarketcap.com/community/articles/688fbb04b247d42126ad74cd/)