Bitcoin Web3 Thoughts of the Week

Bitcoin movement is on mind Web3 Investors this week

“The price has corrected aggressively, but the fundamental framework around Bitcoin has not broken. In previous downturns, infrastructure failed as well as valuations. Major intermediaries collapsed and confidence evaporated. This time, regulated products work, custodians remain operational, and institutional reach continues to expand.”

“Focusing on short-term ETF outflows ignores the bigger picture. The institutional allocation base that has entered the market over the last two years has not disappeared.

“Supply is tightening. When sentiment changes, price movements may accelerate as less liquidity is available to meet renewed demand.

“Nearly half of the coins in circulation are below their owners’ cost basis at current levels. Options markets are pricing in downside protection. Fear is mounting.”

“However, there has been no systemic event comparable to the one in 2022 when FTX dramatically collapsed. The architecture of the market remains intact.”

“Banks, asset managers and payments firms are incorporating digital asset capabilities into core offerings. This strategic direction is long-term.

“As macro uncertainty stabilizes and ETF flows normalize, capital sitting on the sidelines is likely to re-enter. We can expect a return to $100,000 by the end of the second quarter.”

“Once momentum is restored, all-time highs could be reached before the end of the year. The previous peak is not a permanent ceiling.”

“The real issue is whether structural adoption has stalled. Our assessment is that it has not. The institutional infrastructure is broader, deeper and more resilient than at any point in Bitcoin’s history. The current bearish trend is intense, but we think it is unlikely to continue until mid-year.”

“Confidence can be quickly rebuilt in markets where supply is constrained and institutional participation is established.

“We expect Bitcoin to rise to six figures by the end of the second quarter and potentially hit new highs before the end of 2026.

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“Bitcoin’s rally reflects two powerful forces aligning simultaneously: improving risk sentiment in global markets and renewed political support for crypto from Washington. The original and most influential cryptocurrency is responding to a combination of macro relief and political support.”

“Markets have been shaken by concerns that the Iran conflict could deliver a long-lasting shock to energy markets and global growth. As these fears have eased, investors have returned to risky assets, and crypto is often the quickest to react when sentiment changes.

“At the same time, President Trump took a public step to defend the digital asset industry against pressure from traditional banks through his Truth Social platform, sending a clear signal to the markets about the direction of US policy.

“Stablecoins are emerging as a new digital form of the US dollar, putting crypto platforms in direct competition with traditional banks. As banks push back against this development, it shows how important this shift has become.”

“Crypto markets are reacting quickly to changes in global risk appetite, but also responding to regulatory guidance. As geopolitical concerns ease and the White House signals clear support for the sector, these forces are converging to create strong momentum for digital assets.”

“Once momentum is restored, all-time highs could be reached before the end of the year. The previous peak is not a permanent ceiling.”

“The real question is whether structural adoption has stalled. Our assessment is that it has not. The institutional infrastructure is broader, deeper and more resilient than at any point in Bitcoin’s history.”

“For now, Bitcoin bulls appear to be at it again.”

– Nigel GreenCEO deVere Group

“Bitcoin surpassed $71,000 today as gold and oil retreated from recent highs. But the headline figure isn’t the most important indicator to watch. What’s more interesting is that we saw more than $680 million in inflows return to spot Bitcoin ETFs on Monday and Tuesday, even as global stock markets were in turmoil.”

“These ETF inflows show that this is not just a short squeeze. They indicate that institutional allocators are treating Bitcoin as a geopolitical crisis hedge, or potentially as a hedge against future inflation. The ‘safe haven’ narrative that many investors have all but given up on may work this time. Continued ETF inflows in the coming days and weeks will confirm this.”

“Driven by these flows, the price of Bitcoin has risen 11.4% this week. Indeed, during the crisis so far, Bitcoin has held up better than other global equity markets, as well as the Nasdaq, the S&P 500 and even gold.

“This divergence is a positive sign, but there are a few key price levels worth watching in the short term. If the price remains strong in the US open market and closes the day above $70,900, this could set BTC up for a move higher. However, if it continues to move north, there is resistance at $74,000.”

– Nic PuckrinCo-founder of Coin Bureau