Bitcoin resists the correction: The passion of buyers does not weaken!

We could have observed a drop in interest in bitcoin with the overwhelming drop in the asset’s prices in recent days. This is not what is happening since the queen of cryptos is at the center of acquisitions considered massive, according to some experts. A trend which they envisage continuing while the outlook for bitcoin gives rise to optimism.

Decline in Bitcoin ETF Inflows to Continue

According to a report from JPMorgan, bitcoin remains overbought despite the recent correction affecting the crypto market. The news comes as Bitcoin ETFs saw large outflows last week, indicating a slowdown in net inflows.

The bank estimates that this trend is expected to continue. A projection linked to the effect of profit taking in anticipation of the halving of bitcoin miners’ remuneration expected for next month.

Certainly, after a sharp correction, bitcoin experienced a substantial rebound stimulated by the meeting of the Federal Open Market Committee (FOMC) which was held on Wednesday. But JPMorgan suggests the sell-off may not be over yet.

However, as JPMorgan experts note, optimism prevails in the market regarding a significant increase in prices by the end of the year. Investors appear confident that demand for bitcoin will continue unabated, even as bitcoin supply declines after the reward halving.

Bitcoin still attracts interest despite correction
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We have to be realistic

Beyond optimism, JPMorgan analysts seem to call for realism. Their findings are that the notable slowdown in the pace of inflows into spot bitcoin ETFs calls into question the perception of sustained inflows into these ETFs.

Instead, the report’s authors suggest that profit-taking activities are likely to persist. Moreover, if we consider the current overbought position on the crypto market, despite the recent 15% correction in bitcoin.

Therefore, experts emphasize the need for careful observation of market dynamics in the context of ongoing fluctuations. But above all the anticipation of key events like the halving.

They note that as such an event approaches, the likelihood of intensified profit-taking is higher. That said, crypto market participants must be vigilant to make informed decisions.

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