After the rally in April, Bitcoin [BTC] rose from around $62,000 to the $79,000-$80,000 zone, reflecting strong trend continuation and renewed demand.
However, as the price moved into this range, momentum began to slow, signaling that buyers were facing increased supply.
As this unfolded, repeated tests around $79,000 showed weaker rebounds, while lower highs formed below $80,353, confirming waning conviction. This shift reflects profit-taking after the rally, as early buyers exit and new demand struggles to absorb supply. At the time of writing, the price was around $78,454, keeping support under sustained pressure.
If this pattern continues, a collapse becomes more likely, while a strong recovery of $80,000 would signal renewed demand and restore upside momentum.
BTC liquidity becomes negative as Binance outflows increase
After recovering in April, Bitcoin rose from $74,000 to $78,000, while Binance recorded a steady inflow of stablecoins between $548 million and $1.14 billion, reflecting the active purchasing power coming into the market. This inflow phase supported accumulation, allowing the price to recover and stabilize near resistance.
However, as this cycle matured, the flow structure changed. Since April 25, stablecoin net flows have turned negative, with consecutive outflows between $1.54 billion and $1.78 billion, indicating liquidity leaving the exchange. This mirrors January’s setup, where $3.2 billion in outflows preceded a 15% decline from $89.5K to $76K.
As liquidity decreases, purchasing power weakens, limiting upward continuation. If inflows do not return, Bitcoin may struggle to maintain strength and remain vulnerable to downside pressure.
Demand for BTC weakens as regulatory uncertainty persists
Bitcoin’s price action continues to reflect the liquidity-conviction gap as regulatory uncertainty weighs on sentiment.
Since 2025, the Coinbase Premium Index has remained mostly negative, often falling below -0.10, indicating weak demand in the US spot market. Even during rallies towards $100,000 – $120,000, the premium failed to maintain positive levels, suggesting that price strength was dependent on derivatives rather than real accumulation.
While the price now trades around $78.4K, this pattern persists, reflecting cautious institutional behavior amid unresolved regulations. The stalled CLARITY Act leaves jurisdiction unclear, limiting capital deployment despite improved liquidity.
If regulatory clarity emerges, demand could increase significantly, while continued delays could leave Bitcoin range-bound and dependent on near-term positioning.
Final summary
- Bitcoin shows weakening momentum near $80,000 as liquidity outflows and weakening demand in the spot market increase downside risk without new inflows.
- BTC remains limited to the range, where sustained demand is needed to absorb supply and support a move past key resistance levels.