{"id":303130,"date":"2021-07-20T04:00:00","date_gmt":"2021-07-20T01:00:00","guid":{"rendered":"https:\/\/en.buradabiliyorum.com\/institutional-demand-for-bitcoin-evaporates-as-btc-struggles-below-31k\/"},"modified":"2021-07-20T04:00:00","modified_gmt":"2021-07-20T01:00:00","slug":"institutional-demand-for-bitcoin-evaporates-as-btc-struggles-below-31k","status":"publish","type":"post","link":"https:\/\/buradabiliyorum.com\/en\/institutional-demand-for-bitcoin-evaporates-as-btc-struggles-below-31k\/","title":{"rendered":"# Institutional demand for Bitcoin evaporates as BTC struggles below $31K"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_84 counter-hierarchy ez-toc-counter ez-toc-custom ez-toc-container-direction\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<label for=\"ez-toc-cssicon-toggle-item-6a2cf9b2a8694\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #dd3333;color:#dd3333\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #dd3333;color:#dd3333\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-6a2cf9b2a8694\" checked aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/buradabiliyorum.com\/en\/institutional-demand-for-bitcoin-evaporates-as-btc-struggles-below-31k\/#Heavy_volume_near_31700\" >Heavy volume near $31,700<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/buradabiliyorum.com\/en\/institutional-demand-for-bitcoin-evaporates-as-btc-struggles-below-31k\/#Institutional_appetite_for_BTC_dissolves\" >Institutional appetite for BTC dissolves<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/buradabiliyorum.com\/en\/institutional-demand-for-bitcoin-evaporates-as-btc-struggles-below-31k\/#Covid-19_concerns_take_their_toll_on_the_markets_ag\" >Covid-19 concerns take their toll on the markets ag<\/a><\/li><\/ul><\/nav><\/div>\n<p>&#8220;<strong># Institutional demand for Bitcoin evaporates as BTC struggles below $31K <\/strong>&#8221;<\/p>\n<div class=\"post-content\" data-v-128018ef>The rocky road that Bitcoin (BTC) has been on for the past two months continued on July 19 as a\u00a0widely predicted move downwards materialized in the early hours on Monday and dropped the price of BTC below $31,000.\u00a0<\/p>\n<p>Data from Cointelegraph Markets Pro and <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/www.tradingview.com\/\">TradingView<\/a> shows that a wave of mid-day selling pushed the price of BTC to a low of $30,400 before bulls arrived to provide support and lift the price back to $30,850. <\/p>\n<figure><img decoding=\"async\" src=\"https:\/\/s3.cointelegraph.com\/uploads\/2021-07\/f4bdac7d-88c4-41c4-aff6-86625d01ed2a.png\"><figcaption style=\"text-align: center;\"><em>BTC\/USDT 4-hour chart. Source: <\/em><a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/www.tradingview.com\/symbols\/BTCUSDT\/\"><em>TradingView<\/em><\/a><\/figcaption><\/figure>\n<p>The market as a whole continues to face an uphill battle as the miner exodus following China\u2019s crackdown on the mining industry has led to the fourth consecutive negative adjustment in the Bitcoin mining difficulty, a figure which has fallen by almost half since mid-May. <\/p>\n<h2><span class=\"ez-toc-section\" id=\"Heavy_volume_near_31700\"><\/span>Heavy volume near $31,700<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>Insights into the current state of the Bitcoin network were provided in the newest report from Glassnode which set the stage by looking at the UTXO Realized Price Distribution, a metric that identifies on-chain volume profiles across different price groupings.<\/p>\n<figure><img decoding=\"async\" src=\"https:\/\/s3.cointelegraph.com\/uploads\/2021-07\/756894c2-98bf-41f6-9fc5-ce0fe4fbe735.png\" alt=\"\" title=\"\"><figcaption style=\"text-align: center;\"><em>Bitcoin UTXO realized price distribution. Source: <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/insights.glassnode.com\/the-week-on-chain-week-29-2021\/\">Glassnode<\/a><\/em><\/figcaption><\/figure>\n<p>Current data shows that 10.5% of the circulating supply of BTC has transacted in the range between $31,000 and $34,300, the highest level seen since a price of $11,000. <\/p>\n<p>While this indicates a healthy level of volume at the current level, it\u2019s important to note that should BTC price break lower, the next significant support levels are at $26,500, $23,300 and $18,800.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"Institutional_appetite_for_BTC_dissolves\"><\/span>Institutional appetite for BTC dissolves<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>The market-wide pullback in May has led to a significant decline in interest from institutional investors, who now <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/download-scripts-themes-apps\/\" data-internallinksmanager029f6b8e52c=\"9\" title=\"Download Scripts &amp; Themes &amp; Apps\" target=\"_blank\" rel=\"noopener\">app<\/a>ear to be in risk management mode as BTC price struggles to climb higher. <\/p>\n<p>Evidence of the decline in interest can be found by looking at the market price of GBTC, which continues to trade at an -11.0% to -15.3% discount, or by observing the net inflows to the Purpose ETF which has slowed down significantly. Data from Glassnode shows that the ETF saw a net outflow of -90.76 BTC, which is its largest outflow since mid-May. <\/p>\n<figure><img decoding=\"async\" src=\"https:\/\/s3.cointelegraph.com\/uploads\/2021-07\/2866aef5-3b45-4cce-bc57-c038294ba48b.png\"><figcaption style=\"text-align: center;\"><em>Purpose Bitcoin ETF flows. Source: <\/em><a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/insights.glassnode.com\/the-week-on-chain-week-29-2021\/\"><em>Glassnode<\/em><\/a><\/figcaption><\/figure>\n<p>Although institutional activity has been muted, on-chain deposits of BTC to exchanges continue with more than 28,700 BTC, the largest inflow in over a month and a half, taking place on July 16th. <\/p>\n<figure><img decoding=\"async\" src=\"https:\/\/s3.cointelegraph.com\/uploads\/2021-07\/6ca847b1-c8f8-48eb-a2a1-4ef7d78cd15c.png\"><figcaption style=\"text-align: center;\"><em>Bitcoin all-exchange inflow. Source: CryptoQuant<\/em><\/figcaption><\/figure>\n<p>Inflows during times of consolidation and corrections are often seen as a negative developments as they can result in increased selling which can lead to a short-term price breakdown. <\/p>\n<p>Glassnode also pointed to the net inflow of 1,780 BTC to over-the-counter (OTC) trading desks in the past two weeks as \u201cmoving against the structural trend of outflows in place since November 2020.\u201d<\/p>\n<figure><img decoding=\"async\" src=\"https:\/\/s3.cointelegraph.com\/uploads\/2021-07\/a936e848-ed87-46d6-9d20-6b3999360914.png\"><figcaption style=\"text-align: center;\"><em>Total Bitcoin balance held by OTC desks. Source: <\/em><a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/insights.glassnode.com\/the-week-on-chain-week-29-2021\/\"><em>Glassnode<\/em><\/a><\/figcaption><\/figure>\n<p>Glassnode said:<\/p>\n<blockquote><p>\u201cIt remains to be seen whether this net inflow is just a short-term impact, or the early signs of a reversal in the balance of supply and demand.\u201d<\/p><\/blockquote>\n<p><strong><em>Related<\/em><\/strong><em>: <\/em><em>Institutions cautious as crypto products post weakest volume since October<\/em><\/p>\n<h2><span class=\"ez-toc-section\" id=\"Covid-19_concerns_take_their_toll_on_the_markets_ag\"><\/span>Covid-19 concerns take their toll on the markets ag<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>The cryptocurrency market wasn\u2019t the only market that faced downward pressure on July 19 as a surge in Covid-19 cases led to a pullback in global financial markets. <\/p>\n<p>The S&amp;P 500, DOW and NASDAQ all closed the day down 1.59%, 2.09% and 1.06% respectively. <\/p>\n<p>Out of the top 200 cryptocurrencies, the only two notable performances of the day were a 24% gain for Bitcoin Standard Hashrate Token (BTCST) and a 17% rally from Dash (DASH). <\/p>\n<figure><img decoding=\"async\" src=\"https:\/\/s3.cointelegraph.com\/uploads\/2021-07\/46775f31-5ffa-4f4f-9384-37979becc45b.png\"><figcaption style=\"text-align: center;\"><em>Daily cryptocurrency market performance. Source: <\/em><a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/coin360.com\/\"><em>Coin360<\/em><\/a><\/figcaption><\/figure>\n<p>The overall cryptocurrency market cap now stands at $1.245 trillion and Bitcoin\u2019s dominance rate is 46.3%.<\/p>\n<p class=\"post-content__disclaimer\">The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph.com. Every investment and trading move involves risk, you should conduct your own research when making a decision.\n<\/p>\n<p><template data-name=\"subscription_form\" data-type=\"markets_outlook\"><\/template><\/div>\n<blockquote><p><strong><span style=\"color: #ff6600;\">If you liked the article, do not forget to share it with your friends. Follow us on\u00a0<span style=\"color: #ff0000;\"><a style=\"color: #ff0000;\" href=\"https:\/\/news.google.com\/publications\/CAAqBwgKMLG0nwswvr63Aw\" target=\"_blank\" rel=\"nofollow noopener noreferrer\">Google News<\/a><\/span>\u00a0too, click on the star and choose us from your favorites.<\/span><\/strong><\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\">For forums sites go to <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/forum.buradabiliyorum.com\/\" target=\"_blank\" rel=\"noopener\">Forum.BuradaBiliyorum.Com<\/a><\/span><\/strong>\n<\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\"><strong>If you want to read more <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/news\/\" data-internallinksmanager029f6b8e52c=\"2\" title=\"News\" target=\"_blank\" rel=\"noopener\">News<\/a> articles, you can visit our <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/en.buradabiliyorum.com\/general\/\" target=\"_blank\" rel=\"noopener\">General category.<\/a><\/span><\/strong><\/p>\n<\/blockquote>\n<p><span style=\"color: black;\"><a style=\"color: #ff9900;\" href=\"https:\/\/cointelegraph.com\/news\/institutional-demand-for-bitcoin-evaporates-as-btc-struggles-below-31k\" target=\"_blank\" rel=\"noopener\">Source<\/a><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>&#8220;# Institutional demand for Bitcoin evaporates as BTC struggles below $31K &#8221; The rocky road that Bitcoin (BTC) has been on for the past two months continued on July 19 as a\u00a0widely predicted move downwards materialized in the early hours on Monday and dropped the price of BTC below $31,000.\u00a0 Data from Cointelegraph Markets Pro&#8230;<\/p>\n","protected":false},"author":1,"featured_media":303131,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"fifu_image_url":"https:\/\/images.cointelegraph.com\/images\/1200_aHR0cHM6Ly9zMy5jb2ludGVsZWdyYXBoLmNvbS91cGxvYWRzLzIwMjEtMDcvYmM1M2NmMzgtODBlMC00NTkxLWJhNTctYjc4MjZiOTkyN2JjLmpwZw==.jpg","fifu_image_alt":"","footnotes":""},"categories":[1],"tags":[74867,75302,74862,74937,74982,75150,4973,73785],"class_list":["post-303130","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-general","tag-altcoin","tag-altcoins","tag-bitcoin","tag-bitcoin-price","tag-btc-markets","tag-market-update","tag-china","tag-markets"],"_links":{"self":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/303130","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/comments?post=303130"}],"version-history":[{"count":0,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/303130\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media\/303131"}],"wp:attachment":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media?parent=303130"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/categories?post=303130"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/tags?post=303130"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}