Bitcoin Retracement Brings Back Volatility — Market Talk
Bitcoin's retracement after stabilizing late last week has reintroduced fragility and volatility, says Emir Ibrahim at digital asset trading firm Zerocap. U.S. data in the week ahead could shift rate views, influencing risk assets. Traders point to weak BTC ETF inflows and limited dip-buying as signs that structural demand remains muted, the analyst writes. The fresh crypto downturn seems to have coincided with a rise in JGB yields after BOJ Gov. Ueda's comments on Monday, fueling risk-off positioning, Ibrahim says. Forced selling intensified, with over $500 million in leveraged BTC longs liquidated. It is unclear if that is tied to concerns about the unwinding of the yen carry trade--where traders borrow JPY at low rates to convert into higher-yielding assets like BTC. BTC last at $86,576. ([email protected])