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Bitcoin's retail market is facing significant challenges, with wallet holders dropping to a five-month low of 52.45 million, according to analytics firm Glassnode. This decline follows a previous all-time high on January 20, when Bitcoin's value peaked at $109,000. In addition, over three days, U.S. Bitcoin ETFs saw outflows totaling $494 million, including a substantial $251 million on February 12. Analysts note that this trend indicates growing concerns over dwindling institutional interest.
Despite difficulties in the retail and ETF sectors, large Bitcoin holders, commonly referred to as "whales", are increasing their holdings. On February 5, they acquired 39,620 BTC, valued at approximately $3.79 billion, as prices fell below $97,600. While some experts view this as a hopeful sign of market stabilization, Bitcoin's price has remained stagnant around $96,000, limited by trading fluctuations.
Ongoing geopolitical tensions, particularly trade discussions between U.S. President Donald Trump and Chinese President Xi Jinping, are adding further uncertainty to Bitcoin's future trajectory.