Bitcoin Panic Selling Shows Signs of Ending as It Holds Steady Despite US-Iran Tensions

Months of panic selling that has pressured the cryptocurrency market may be nearing an end, CoinDesk reported.

Jasper De Maere, an analyst at Wintermute, said July 13 that Bitcoin held steady over the weekend even as tensions between the US and Iran escalated. That marks a contrast with March and April, when Bitcoin fell as oil prices surged and geopolitical unease intensified.

Price-sensitive weak hands appear to have largely exited the market, he said.

De Maere also said outflows from spot Bitcoin exchange-traded funds, which had persisted for eight straight weeks, have stopped. While it is still too early to call it a trend reversal, that points to a decline in marginal sellers who continue to sell into price drops.

Once those sellers leave the market, additional supply likely to come to market at those price levels could drop sharply, he added.