The cryptocurrency market is witnessing a period of stagnation for Bitcoin, with minimal movement in its value. On Wednesday, during Asian trading hours, Bitcoin hovered just below $77,000, marking a mere 0.1% increase over 24 hours and a 0.8% decrease over the week. This stability persisted despite Brent crude oil surpassing $111 per barrel, triggered by a Wall Street Journal report stating that President Donald Trump has instructed aides to prepare for an extended US naval blockade of the Strait of Hormuz. In response to the situation, Iran has expressed concerns about the country's state, while Tehran has indicated a potential willingness to accept an interim agreement to reopen the strait if the US lifts its blockade on Iranian ports.
Other major cryptocurrencies experienced more significant fluctuations, with Ether dropping 2.6% to $2,310, XRP falling 3.8% to $1.39, Solana declining 3.2% to $84.57, and BNB shedding 2.3% to $625. The exception was Dogecoin, which saw a 5.5% increase to $0.1016 over the week, making it the only top-10 token outside stablecoins to exhibit growth. As a result, Bitcoin's market dominance is gradually increasing, a trend often observed during periods of macroeconomic stress when capital flows into the largest asset. According to Zaheer Ebtikar, founder of Split Research, Bitcoin's relative calmness may indicate a shift in market structure.
'The supply overhang has been depleted, and sellers who were spooked by macro shifts or quantum fears have already exited, leaving the market much thinner on the sell-side than it was just a few months ago,' Ebtikar noted. 'Bitcoin is far less sensitive to regulatory noise or central bank policy than people think.
Its sensitivity is purely a function of wider volatility, and since we're currently in a quieter trading range, there's no immediate rush for the exits.' From a technical perspective, analysts at Bitget have identified $75,000 as a critical level, below which the upward range that has held since late March could break, potentially leading to further downside. Conversely, a reversal towards $80,000 from current levels would maintain the rally structure and set up a retest of the resistance that has rejected Bitcoin's attempts since February. The Fed's rate decision, scheduled for later on Wednesday, and the ECB's decision on Thursday, will be closely watched, particularly as the US equity market experienced a sell-off on Tuesday due to growing skepticism about the payoff from artificial intelligence capital expenditure. With Nasdaq 100 futures recovering 0.4% in Asian hours, traders will be monitoring whether Bitcoin's apparent supply exhaustion can withstand the next macro shock.
If Ebtikar's assessment is correct, the seller base that capitulated through March and April is gone, and Bitcoin's price will be driven by volatility rather than headlines until a new selling wave is triggered.