The U.S. CPI release on Wednesday matched market forecasts, but this time the data failed to trigger significant volatility as focus shifted to the Middle East situation. Equity indices lacked clear direction, and Bitcoin continued to hover near the $70,000 resistance level. Although the price appears to have stabilized temporarily, sentiment remains pessimistic, and whether $70K can hold depends heavily on geopolitical developments.
Exchange Netflows Show Strong Negative Spikes
Bitcoin's price has corrected from $74,000 last week to around $70,000. According to CryptoQuant's monitoring of Binance exchange netflow data, frequent sharp negative spikes occurred during the decline, indicating that investors are withdrawing BTC from exchanges during the downturn. However, occasional positive netflow spikes — where price drops coincide with coins moving to exchanges — suggest that selling pressure has not completely vanished.
Outflows Fail to Ignite Demand
In the latest chart interval, netflows remain mostly in negative territory, meaning BTC continues to leave exchanges. Yet price action remains sluggish, with weak rebound attempts after declines. Objectively speaking, despite ongoing outflows, prices have failed to stimulate robust buying demand. Market momentum is feeble, and prices face persistent downward pressure. The current scenario reflects a liquidity crunch combined with severe demand deficiency, resulting in a persistently weak price structure.