Bitcoin’s price has remained near $113,000 for the past week, after hitting a new high over $126,000. This is as a result of the stabilization in market following one of its worst corrections.
Last week’s record-breaking bitcoin prices were a result of renewed demand from institutions, declining real yields and growing adoption The cheapest way to buy a car is by using the “debasement trade” — investors seeking protection against monetary expansion.
Recovery comes following a bruising weekend As cascading margins calls spread across the exchanges, more than 1.6million traders were forced to liquidate position.
Bitcoin dropped from its 24-hour peak of $116,000 towards around $110,000 overnightAs speculation about possible institutional repositioning grew, both BlackRock and the U.S. Government made large moves on their chains.
As of the writing of this article, Bitcoin trades at $113.055.
According to blockchain analytics, the U.S. government transferred 667.6 BTC earlier today — worth roughly $74.8 million — to a new wallet early Tuesday morning.
Also, earlier today the U.S. announced a seizure of 127,271 BTC, worth roughly $14 billion, from Chinese émigré Chen Zhi and his Cambodia-based Prince Group criminal network. The accused were involved in a global “pig butchering” The crypto-scam laundered billions of dollars via shell companies, mining, and real estate.
Chen has been charged with wire fraud and laundering money, while U.S. & UK authorities have placed sanctions against 146 companies and individuals involved in the scheme.
Bitcoins recent volatility
Last week, there was the biggest deleveraging event in history of crypto. Analysts noted This $19 Billion in liquidations is a reflection of the actual amount that was spent. “a clearing of speculative excess” Instead of a broad-based sale. Funding rates swung sharply negative — the most bearish since late 2023 — suggesting an overextension of leveraged bets.
This interpretation is supported by data from the chain. The long-term investors have been stable, but metrics like Coin Days Destroyed or Spent Output profit ratio show that the majority of selling has come from newcomers who are at a disadvantage.
Bitcoin is still a very stable currency. fundamentals remain strong. The hash rate, the transaction throughput and the active addresses continue to rise, highlighting the resilience of network health.
Adding to the pressure, renewed U.S.–China trade tensions have weighed on risk assets. Beijing’s restrictions on rare-earth exports prompted President Donald Trump to threaten a 100% tariff on Chinese goods, driving stocks — and bitcoin — lower.
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Source: bitcoinmagazine.com
