Bitfinex Report: Macro Conditions Will Impact Bitcoin’s Trends in the Coming Weeks

Odaily Planet Daily News Bitfinex released a report saying that in February, Bitcoin plunged 17.39%, the worst February performance since 2014 and the second worst month in history. Bitcoin has fluctuated sharply in the past week, plunging 18.4% to a low of $78,617 before rebounding. The plunge was mainly due to record Bitcoin ETF outflows, which reached more than $1.1 billion on February 25 as institutional fund outflows weakened. On March 2, US President Donald Trump announced that he would establish a US cryptocurrency reserve, which triggered a sharp reversal in Bitcoin. Bitcoin rose 20% from its local low and rose more than 12% on the day, but the subsequent sell-off pushed Bitcoin down to about $92,000. Before more details of the proposed cryptocurrency reserve are released, broader macro conditions (including the performance of the S&P 500) will seriously affect Bitcoin's trend in the coming weeks. The market remains fragile and sustained bullish momentum may be difficult to achieve without new institutional inflows.