Bitcoin's onchain demand indicator has turned negative again after a brief August rebound, coinciding with a slide to $76,400 before the coin clawed back above $77,000. The drop came alongside a sharp move in USD/JPY and a steep sell-off across Asian equities.
Bitcoin (BTC) sold off into the early European trading hours on Wednesday, hitting a local low of $76,400, according to data from CoinGecko. The move came a day after US spot Bitcoin ETFs recorded outflows of $236 million.
Bitcoin's apparent demand flips negative again
Data from CryptoQuant shows Bitcoin's apparent demand indicator turning negative once more after a brief reprieve during the August rally. The indicator, inspired by similar metrics from commodity markets, measures the difference between newly mined issuance and changes in inactive supply. Positive demand implies old coins are waking up and the market is absorbing them along with new issuance, a sign of active spot demand. Negative readings mean coins are aging into dormancy faster than miners issue them.
At the time of writing, BTC had reclaimed $77,000, but remains pinned under a cluster of resistance.
Yen swings as bond rout eases
The global bond rout eased slightly as the US 10-year yield briefly dipped below 4.8%. Still, there was inorganic price action in the USD/JPY pair at 13:00 UTC, which commentators widely took as a sign of another central bank intervention. USD/JPY declined to 158.5, retreating from the psychological 160 level widely seen as a line the Bank of Japan will defend. No official announcement on the matter had been made at the time of writing.
Asian equities sell off sharply
Asian equities suffered steep declines, likely driven by soaring oil prices and further profit-taking in the AI sector. South Korea's KOSPI led the decline, falling 4.0% to close at 6,562.72. Chipmakers SK Hynix and Samsung Electronics shed 4% and 4.7%, respectively. Japan's Nikkei 225 fell 2.9% to 64,325.64, dragged down by tech heavyweights including SoftBank Group, an OpenAI investor. Taiwan's TAIEX rounded out the losses with a 1.7% drop.
Source: Cointelegraph.com News
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