Bitcoin started the week below $80,000 in Hong Kong markets. Cryptocurrency, which has had difficulty rising above this level in recent days, faces significant resistance in the short term. Glassnode data emphasized that the $80,700 level is a critical threshold for the cost of short-term investors. It is stated that the impact of Asian transactions in particular has decreased and the market has become more dependent on European and US sessions.
Silence and competition in the Asian market
Total assets of three Bitcoin spot exchange-traded funds operating in Hong Kong remained stable at $319.48 million. Daily transaction volumes regularly remain below $2 million. There was no clear entry on most trading days throughout April. It is observed that the interest of investors in the region has shifted to other risky assets and technology stocks. Especially in Hong Kong, there was a great revival in the IPO market in the first quarter of the year, and the stock market became very busy, with more than 400 IPO applications being filed.
Analysts speculate that this vibrant IPO market in Hong Kong has caused some investors to turn to stocks with high growth potential instead of crypto. The recession in Asian markets puts pressure on Bitcoin in terms of liquidity.
Dependency on European and US sessions is increasing
Market maker Enflux said in a note to investors that European and US transactions are decisive for Bitcoin’s ability to sustain above $80,000 due to low activity in Asia. Enflux pointed out that unless liquidity support comes in the Asian session, the flow of Western markets becomes mandatory for a strong rise.
This dependence on market flow causes US and European transactions to have a more visible impact on Bitcoin price. The low Asian participation also weakens the liquidity buffer created during night hours.
Latest data revealed that spot Bitcoin ETFs in the US saw net outflows of $783.4 million last week. Additionally, there was a 13.45 percent decrease in transaction volume. According to Glassnode data, the spot cumulative volume difference, which tracks whether buyers or sellers initiate transactions, has decreased by around 28.6 percent. This indicates that purchasing pressure has weakened.
Prices stuck at resistance and new expectations
All these developments indicate that the demand that supported the rise in April has now lost momentum; It shows that Bitcoin is having difficulty finding clear support for a new movement. According to Enflux’s analysis, investors are stuck in the Bitcoin price between $78,000 and $82,000. The $80,000 level is no longer a jumping-off point, but rather the upper end of the price range.
This week, the employment data to be announced in the USA has become the focus of the markets. If there is a strong result, Bitcoin may gain new upward momentum with fund movements from the West. However, in the event of a report that falls short of expectations, the cryptocurrency’s support could be challenged by the lack of liquidity support from Asia.
