Bitcoin slipped below the $70,000 threshold after a 1.6 percent drop in the past 24 hours, highlighting the cryptocurrency’s volatile response to shifting global dynamics. Despite earlier expectations of a rally, rapid changes in direction were observed as geopolitical tensions dominated headlines. A brief recovery followed Wednesday’s pullback in oil prices and reports that US President Donald Trump might suspend military action against Iran, yet this rebound proved short-lived. While the BTC/USD pair had recently surged as high as $71,200, it found itself again retreating to around $69,000 amid prevailing uncertainty.
US Demand Weakens on Crypto Exchanges
The price gap between US-based crypto exchange Coinbase and its global counterparts has reached its most negative level in a month. Data indicates that institutional investors in the United States are buying Bitcoin at noticeably lower prices compared to those transacting on international platforms such as Binance. Historically, such disparities have coincided with periods when Bitcoin’s price movement enters a sideways or stagnant phase.
There was a total of $1.53 billion in new inflows to Bitcoin ETFs in March. However, nearly all of that investment arrived within the first two weeks. In the following fortnight, net ETF inflows slowed to just $195 million, revealing a clear disconnect between on-chain data and broader macro trends.
Technical Analysis Points to Ongoing Uncertainty
Although Bitcoin reached a record high of $126,080 last year, current prices remain 44.4 percent below that peak. March futures contracts closed at $70,750 over the weekend, while spot trading volumes have dwindled to their lowest levels since 2023. The market is marked by a lack of conviction from both buyers and sellers, underscoring an environment of pronounced caution.
Technical indicators suggest that the $68,000 mark serves as a critical psychological support for Bitcoin. This level has managed to withstand recent geopolitical shocks, though declining trading volumes now cast doubt on how long that support can persist.
In the short term, Bitcoin is expected to trade within a choppy range between $69,000 and $74,000, with geopolitical developments fueling brief volatility and subdued momentum. If a negative scenario unfolds and trading volume spikes while Bitcoin closes below $68,500, selling pressure could push prices down to as low as $62,000.
Amidst these fluctuations, weaker institutional demand and rapid, news-driven price movements have sharpened doubts about the risk appetite of market participants. The recent decline in trading activity and the slower pace of ETF inflows have only deepened the sense of uncertainty pervading the market.
In this climate, Bitcoin’s price appears to be intentionally held within a narrow range as a defensive measure. However, analysts emphasize that renewed investor confidence will be essential before any sustained upward momentum can develop.
