#Bitcoin may consolidate#

Recently, the Bitcoin market has shown signs of consolidation, attracting market attention. The Matrixport weekly report points out that macroeconomic headwinds and global liquidity changes may be the main reasons for Bitcoin entering a consolidation phase. Although ETF inflows remain stable, the Fed's hawkish stance may limit further gains in Bitcoin. 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. In the first week of 2025, Bitcoin prices fell from $102,000 to $91,000, and although they rebounded to $95,000, the weekly candlestick chart suggests a possible bearish trend. Overall, the market is divided on the future direction of Bitcoin, and investors need to closely monitor the macroeconomic environment, Fed policy, and technical signals, and take appropriate risk management measures.