The Bitcoin price has fallen once again to the level around $47,000

Macroeconomic environment depresses Bitcoin
Meanwhile, other factors also point to the prolongation of the correction. The Grayscale Bitcoin Trust (GBTC), supposedly one of the biggest drivers of the current bull market, is trading at a discount of -11.92%.

As to why this is, analysts currently seem to agree that the macroeconomic environment plays a significant role. Bitcoin’s correlation with the S&P500 recently rose to its highest level since the March 2020 crash.

Drop in crypto is large but it’s small adjusted by vol. Bitcoin has been relatively resilient. Issue with expecting much further downside in stocks is rates are the driver, and bonds are stretched here.

A bullish factor could continue to be institutions and large investors over the long term, as well as overall sentiment in the Bitcoin market. Lex Moskovski, CEO of Moskovski Capital, shared a chart showing that the illiquid supply of Bitcoin continues to increase.

Strong holders are ramping up their positions despite the sell-off. Bitcoin is holding up against the macro spectacularly well.

This is also supported by data from IntoTheBlock. According to the analytics firm, the total volume of large transactions (>$100,000) has increased over the past 7 days, reaching an on-chain volume of $173.16 billion, which IntoTheBlock says is a clear sign that institutions continue to buy BTC.

Bitcoin is ever secured and reliable.