The price of Bitcoin remains weak as buyers remain fearful of liquidation events.
BTCUSD – Daily Chart
The BTC price has created four straight red candles, and the current week is also in the red. Stronger support could emerge near $54k.
Bitcoin’s run of weakness has continued since the October rout that triggered $19 billion in liquidations. A failed breakout at $92k in early-January has also added to the selling.
Gold and silver benefited from crypto weakness, and the market is still unsure about the pace of interest rate cuts. The FOMC minutes are due overnight and could give some clues, but the overall mood is that recent Federal Reserve comments are largely priced in until further data emerges.
There was a short lift to $69,00 after the January print of the US Consumer Price Index (CPI) fell short of expectations. The Bureau of Labor Statistics said that core CPI matched estimates of 2.5%, while the broader reading was 2.4% – 0.1% lower than anticipated.
That was not enough to change the recent script on rate cuts, and ETF flows remain weaker. Even corporate strength couldn’t hold up bitcoin, as data showed Abu Dhabi wealth funds added to ETF holdings that were above $1 billion by the end of 2025
Mubadala Investment Company and Al Warda Investments lifted their holdings in BlackRock’s iShares Bitcoin ETF (IBIT) in the fourth quarter. But that is a worry for many analysts’ expectations that bitcoin would be propelled higher by corporate buying flows.
BlackRock’s head of digital assets, Robert Mitchnick, recently said there is a mistaken belief that hedge funds using ETFs were adding to volatility and causing heavy selling. He said that IBIT holders had been buying as a longer-term investment.
For now, the trend remains weak until sentiment changes materially. Large scale buying from investors such as the touted US Strategic Reserve could be a driver, but investments have been muted. However, lower prices are surely attracting the attention of different buyer categories.
Another driver could be tax refunds for US investors, and a Wells Fargo strategist said that could revive retail risk-taking by late March, potentially sending fresh cash into Bitcoin and tech stocks.
