Bitcoin analysts from Bitwise suggest that selling pressure on Bitcoin may have peaked, creating potential buying opportunities. Recent Google search data shows reduced interest in Bitcoin due to price weakness, leading to fear in the market. The Crypto Fear and Greed Index has dropped to a year-low of 24, indicating caution in the market.

Despite the negative sentiment, Bitwise analysts believe that the current situation favors accumulation rather than retreat. External factors like US-China trade tensions and record futures liquidations have contributed to the recent correction. The decline in Bitcoin’s perpetual futures open interest by nearly $11 billion suggests a potential buying window.

Smaller Bitcoin holders are accumulating more coins, offsetting reduced buying from larger holders. However, miners have deposited a significant amount of Bitcoin to exchanges, indicating potential sell-side pressure. Long-term holders have also been selling Bitcoin, with the largest monthly outflow in January 2025.

Bitcoin’s stability around $110,000 suggests institutional or ETF demand may be absorbing excess supply. This conflicting data indicates a transition from capitulation to reaccumulation in the market, setting the stage for a potentially bullish fourth quarter. Bitwise analysts see this as a foundation for positivity in the market.

Read more at Cointelegraph: BTC Fear Hits Yearly Lows, Opening a Unique Buying Phase