Bitcoin has just witnessed its biggest drop in a month as cryptocurrency fund inflows are on a decline. The original cryptocurrency has now steadied near $54,000 after falling to as low as $53,715.
That makes it the lowest it has been since March 16.
The biggest cryptocurrency fell 5.8% over the previous 24 hours period for its largest daily decline since February 23 according to exchange data from Bitstamp.
This drop below $55,000 comes as cryptocurrency fund inflows have been on the dip, down by roughly 58% to $99 million last week. Trading volume was also strong from sellers on Monday, with blockchain data showing that there is not enough buying power from stablecoins and US dollar spot inflows.
Lower investor appetite for the digital asset funds could reflect uncertainty over the price of Bitcoin that has recently traded in a range between $53,000 and $61,000.
A decline in Bitcoin investment product trading volumes to $713 million per day last week also played its part, versus $1.1 billion per day for 2021. Additionally, fund flow data also shows a regional divide. Inflows are slowing in the US, while there is a sustained investor appetite in Europe and Canada.
As things stand, it definitely could take some time before Bitcoin enjoys another leg up. Huge surges like 20% may be a bit far away.
The information provided on this website does not constitute investment advice, financial advice, trading advice, or any other sort of advice and you should not treat any of the website's content as such. Crypteligence.com does not recommend that any cryptocurrency should be bought, sold, or held by you. Do conduct your own due diligence and consult your financial advisor before making any investment decisions.