The past week has been rough for Bitcoin, with its price fluctuations influencing the broader altcoin market. As a result, the total crypto market cap declined by more than 2% in the past day and reached approximately $3.21 trillion.

Despite this volatility and macroeconomic concerns, Bitcoin demand appears to stay strong, as suggested by on-chain data.

Strong Bitcoin Demand

According to the latest analysis by CryptoQuant, there is a strong Bitcoin demand despite its price fluctuating between $90,000 and $105,000. The 30-day moving average (30DMA) exchange inflow/outflow ratio remains below 1 which signals that outflows surpass inflows a bullish indicator for investors.

A lower ratio typically reflects stronger underlying demand, historically preceding short-term price increases. This trend suggests continued accumulation and reinforces optimism among market participants.

However, CryptoQuant cautioned investors that not all outflows indicate direct buying pressure, as some may result from routine asset transfers by centralized exchanges to custodial wallets, such as ETFs, institutional holdings, and OTC desks.

Bitcoin appears to be at a crucial phase which could mean that the leading crypto asset is poised for a significant move in either direction. Since reaching its last peak on September 16th, Bitcoin has been in an accumulation phase, following a historical pattern of sharp rallies followed by extended corrections. The Choppiness Index on both daily and weekly charts indicates instability (62 and 72, respectively), meaning, Bitcoin needs to break into a decisive trend soon.

This is further validated by Bitcoins 90-day range, which has seen price fluctuations of approximately 16% between its highest and lowest levels. A similar scenario unfolded in August 2023, which preceded a major upward move but first shaking out traders holding stagnant positions due to low volatility.

Short-term metrics, on the other hand, suggest increased market pressure, with the short-term SOPR in a balance zone just below 1 currently at 0.99 indicating potential volatility and liquidation risks. Key support levels lie at $92K, the Short-Term Holders Cost Base, with a lower support range between $80K and $89K, which is in line with the 200-day EMA.

However, concerns of false moves persist before a breakout, as breakout traders cluster around these levels, making them prime targets for market shakeups. Given past patterns and current indicators, the likelihood of sudden spikes and reversals is high before a bullish run materializes. The coming days could bring intense volatility as the market determines Bitcoins next major trajectory.

Bitwise Execs Bold Bitcoin Prediction

Bitwise CEO Hunter Horsley remains bullish on Bitcoin. In a recent tweet, the exec predicted that it will hit $1 million due to increasing adoption as he foresees more capital flowing into spot Bitcoin ETFs, growing corporate and sovereign investment, and expanded financial services integrating Bitcoin.

Regulatory clarity and macroeconomic trends are further expected to support its rise. Horsley also said that he believes 2025 will be a breakthrough year, with influential figures publicly endorsing Bitcoins potential as a global financial asset.