Bitcoin’s Struggle is Real: Why the Crypto Market is Lagging Behind Stocks

As I sit down to write this article, I’m met with a sense of déjà vu. Bitcoin, the largest and oldest crypto asset, is stuck in a sideways channel, struggling to break free from the shackles of investor uncertainty. The crypto market, once the darling of the financial world, is now lagging behind stocks, leaving many to wonder if the bubble has finally burst.

Bitcoin’s price chart shows a clear struggle to break free from the sideways channel

The latest price moves in crypto markets are a far cry from the heady days of 2021, when Bitcoin was on a tear, reaching dizzying heights of over $64,000. Today, the cryptocurrency is stuck in a rut, unable to break free from the $67,000 mark. The question on everyone’s mind is: what’s going on?

One possible explanation is the lack of investor confidence. According to a recent report, U.S.-listed spot bitcoin exchange-traded funds suffered $226 million of net outflows on Thursday. This is a clear sign that investors are losing faith in the cryptocurrency, and are instead opting for more traditional assets.

But not everyone is bearish on Bitcoin. Brokerage company Bernstein has set a massive price target of $1 million for the cryptocurrency, predicting that it will reach a cycle-high of $200,000 by 2025. This is a bold prediction, to say the least, and one that has left many in the crypto community scratching their heads.

A bold prediction from Bernstein has left many in the crypto community wondering if it’s possible

Meanwhile, in other news, former Goldman Sachs executive Connie Shoemaker has joined the board of directors of crypto custody firm Anchorage Digital. This is a significant development, as Anchorage Digital is the only crypto bank chartered by the Office of the Comptroller of the Currency (OCC) in the U.S.

Connie Shoemaker joins Anchorage Digital’s board of directors

As I look at the chart of the day, I’m struck by the lack of activity in the crypto market. The seven-day change in open interest (OI)-adjusted cumulative volume delta (CVD) in futures tied to the top 25 cryptocurrencies by market value shows a clear lack of interest in the market.

The chart shows a clear lack of interest in the crypto market

TRX is the only coin to have seen a positive CVD, a sign of new inflows into the market. But even this is a small consolation, as the overall trend is clear: the crypto market is struggling to find its footing.

As I conclude this article, I’m left with more questions than answers. Will Bitcoin ever break free from its sideways channel? Will the crypto market ever regain its former glory? Only time will tell.

The future of Bitcoin is uncertain, but one thing is clear: it’s not going anywhere