Bitcoin’s outlook deteriorated over the weekend, with Monday volatility triggering a $750 million liquidation spike.
Over the past week, however, the cumulative spot and perpetual volume delta indicators have been trending lower, suggesting a sustained selling pressure from both avenues.
What’s driving Bitcoin’s decline?A bond selloff that began last week has accelerated into a steep decline in the yen, which has been in freefall since April 2024. The downtrend intensified in the first two weeks of January, though rumors of intervention from the Federal Reserve Bank of New York have temporarily stalled the yen’s slide.
🇯🇵 YEN INTERVENTION WARNING SHAKES MARKETS
Markets are on high alert after Japan’s Prime Minister Sanae Takaichi warned of action against “abnormal” yen moves, fueling speculation of imminent currency intervention — possibly with U.S. support.
The fragile macro backdrop is weighing on risk assets, with Bitcoin’s price action reflecting its growing sensitivity to traditional financial turbulence.
Meanwhile, traditional safe havens are attracting capital: gold is up 2.08%, and silver has risen 1.6% on the day, underscoring the defensive rotation currently sidelining Bitcoin.
