Bitfinex report: BTC consolidation leads to market tension

Odaily Planet Daily News Bitfinex Alpha Report pointed out: Bitcoin (last week) showed a strong rebound at the beginning of this week, up 4.7% from the weekly opening price, and briefly retested the previous historical high of $109,590. However, after Israel's unexpected attack on Iran on June 13 triggered a global market crash, optimism was quickly replaced by risk aversion. Bitcoin gave up most of its early gains, falling 7.33%, and closed lower this week as rising oil prices and macro uncertainties severely affected investor sentiment. This event highlights that even strong trends can quickly derail due to external shocks, especially when the market is hot. Beneath the surface, traders' behavior reveals growing pressure. Bitcoin net buying volume plummeted to -197 million US dollars (see figure below), the lowest level since June 6, indicating that sellers have taken control of the market and sold BTC aggressively at market prices. However, this sell-off, coupled with a surge in liquidation volume, is similar to past capitulation sell-offs-such sell-offs usually mark a local bottom in the market. If Bitcoin can hold the $102,000 to $103,000 range, it could be a sign that selling pressure is being absorbed and the market could be ready for a recovery — assuming geopolitical risks don’t intensify further.