#Bitcoin may consolidate#

Recently, the Bitcoin market has shown signs of consolidation, attracting market attention. Matrixport's weekly report points out that macroeconomic headwinds and global liquidity changes may have pushed Bitcoin into a consolidation phase. Although ETF inflows have been steady, the Fed's hawkish stance may limit further gains. The report believes that Bitcoin's rally is more influenced by Fed policy than by ETF launches. Technically, the "shooting star" candlestick pattern suggests that the medium-term uptrend may be nearing its end. With low implied volatility, options are seen as an effective risk management tool, allowing traders to capture upside opportunities through call options or protect gains with put options. Additionally, the first week of 2025 also showed a bearish trend, with Bitcoin prices falling from $102,000 to $91,000. Although it rebounded to $95,000, the weekly candle looks potentially bearish. Overall, the market generally believes that Bitcoin may enter a consolidation phase in the short term, and future trends will depend on changes in the macroeconomic environment and Fed policy.