On Friday, March 27th, the price of Bitcoin fell toward the $65,000 level, reflecting the growing uncertainty in the broader global financial markets. Interestingly, this decline in the flagship cryptocurrency’s value came despite the increasing market activity of select institutional investors. A prominent on-chain analytics expert has come forward with a plausible explanation for the fall in the Bitcoin price despite increasing institutional buying activity.
BTC Overall Demand Still On The DeclineMoreno drew this observation from the Demand Growth metric, which measures the rate of change in the accumulation of a specific cryptocurrency (Bitcoin, in this case) by investors. This apparent demand growth indicator assesses demand by comparing the freshly mined BTC to the amount of unmoved coin in over a year.
Typically, news of positive ETF inflows and fresh Strategy’s treasury acquisitions are welcomed with excitement, as they are believed to have some impact on the value of the premier cryptocurrency. According to the CryptoQuant Head of Research, it is not enough to look at the activities of the spot ETFs and Strategy when judging the current Bitcoin demand.
Bitcoin Price At A GlanceAfter falling to around $65,500 on Friday, the market leader is now hovering around $66,300. According to data from CoinGecko, the BTC price is down by more than 4% in the past 24 hours.
