Bitcoin Stalls Near $90K as Weak Spot Demand Heightens Risk
Bitcoin remained near $90,000 on Monday, showing muted spot demand and growing exposure to macroeconomic shocks, according to Bitfinex analysts.
After a late-weekend rally attempt, BTC lost most gains in early U.S. trading, settling around $90,500—down roughly 1% over 24 hours.
Altcoins saw mixed performance. Ethereum (ETH) slipped slightly but outperformed BTC, reaching its highest relative level against bitcoin in over a month. Privacy-focused Zcash (ZEC) and institutional blockchain Canton Network (CC) posted double-digit gains, while the CoinDesk 20 Index fell 0.8%.
Macro developments weighed on markets. Long-duration government bond yields surged amid concerns over Japanese debt, with the U.S. 10-year Treasury reaching 4.19%, its highest in three months. Japanese 10-year yields approached 2%, near two-decade highs. U.K. and European bonds also sold off, and U.S. equities declined, with the S&P 500 down 0.5% and the Nasdaq 0.3%.
All eyes are on the Federal Reserve’s year-end meeting. A 25-basis-point rate cut is expected, but future guidance could spark volatility. “Easing financial conditions or a weaker U.S. dollar could support crypto, while hawkish surprises may increase downside pressure,” said LMAX strategist Joel Kruger.
Structural Challenges for Bitcoin
Bitfinex analysts highlighted persistent headwinds. Despite a rebound from November lows, BTC remains rangebound while equities hit near-record highs, signaling relative weakness.
Key signals include:
- Spot bitcoin ETF outflows, with traders selling into strength, reflected in negative Cumulative Volume Delta (CVD).
- Over seven million BTC unrealized losses, echoing bearish sentiment.
- Capital inflows of $8.69 billion per month (Net Realized Cap Change), below peak levels, offering limited support.
“These factors create a fragile setup,” the report said. “Weak spot demand reduces support and increases sensitivity to macro shocks and tighter financial conditions.”
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