Bitcoin Stumbles at $68,000 Barrier... Will Institutions Rescue It?

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As Bitcoin (BTC) wages a fierce battle to reclaim the psychologically significant $68,000 level, investors are closely watching shifts in market liquidity and the possibility of a technical rebound.

According to CoinMarketCap on February 23 (local time), Bitcoin entered a corrective phase, falling 4.6% over the past 24 hours to $64,749.77. Earlier in the day, Bitcoin surged to an intraday high of $68,235.23, showing upward momentum. However, intensified selling pressure pushed the price down to as low as $64,350.41, highlighting increased volatility. Bitcoin’s market capitalization remains around $1.29 trillion, maintaining its overwhelming dominance in the overall cryptocurrency market.

Trading volume has surged dramatically. Over the past 24 hours, Bitcoin’s trading volume jumped 61.55% to $28.8 billion, underscoring active market turnover. Binance recorded the highest trading activity, followed by Coinbase and OKX. The combination of soaring volume and falling prices reflects a fierce standoff between sellers seeking to offload holdings at higher levels and buyers waiting to accumulate at lower prices.

Technical indicators are pointing to short-term oversold conditions while hinting at the possibility of a rebound. Major indicators such as the Relative Strength Index (RSI) and the Moving Average Convergence Divergence (MACD) suggest that the current price level is approaching a short-term bottom. However, a stable recovery above the $68,000 mark is essential for a full-fledged trend reversal. With more than 95% of the total circulating supply—approximately 19.99 million BTC—already in the market, whether Bitcoin’s capped supply can act as a catalyst for future price appreciation remains a key question.

Sentiment across the broader cryptocurrency market remains sharply divided depending on Bitcoin’s direction. While the pace of institutional inflows through spot Bitcoin ETFs has slightly moderated, retail investors are seeking to leverage the recent price drop as a buying opportunity. Large institutional holders such as Strategy, which collectively hold over 1.17 million BTC, continue to provide strong downside support, serving as a buffer against deeper declines.

The Bitcoin market is expected to experience heightened volatility in response to macroeconomic data releases and regulatory developments. Currently trading about 48.7% below its all-time high of $126,198.07, Bitcoin is viewed by some long-term investors as being in an attractive accumulation range. Rather than reacting to short-term fluctuations, investors are carefully monitoring changes in trading volume near support levels and on-chain data trends to formulate prudent investment strategies.

Disclaimer: This article is for investment reference only and the publisher is not responsible for any investment losses incurred based on this information. The content should be interpreted for informational purposes only.