Bitcoin Market Stability Attributed to Seller Exhaustion, Not Increased Demand

CryptoQuant analyst Darkfost points out that Bitcoin's recent market stability is not due to a surge in demand, but rather because sellers have exhausted their supply. Since the beginning of the year, Bitcoin has shown weak performance with spot demand continuing to shrink.

The total estimated spot and futures demand for Bitcoin is currently -127,000 BTC, which is insufficient to restart an upward trend. Market stability results from seller exhaustion rather than a recovery in demand.

Darkfost notes that without panic selling accompanied by extremely low trading volumes, the correction may continue. This means that investors should be cautious and not assume that market stability is a sign of recovery.