Analysis: Slowing corporate crypto buying traps BTC in trading range

Bitcoin's recent range-bound trading is the result of slowing new capital inflows and concurrent outflows, according to a report from 10x Research. The analysis suggests that buying pressure from companies with Digital Asset Treasury (DAT) strategies has weakened, while selling pressure from existing long-term holders, or whales, has increased. The report adds that market liquidity has also slowed since the passage of the U.S. GENIUS Act in July, further reducing Bitcoin's volatility. This has caused the net asset value (NAV) of major DAT firms like Strategy (MSTR) to shrink to a 1.2x level, significantly diminishing their purchasing power. As a result, Strategy is no longer making large-scale Bitcoin acquisitions and has recently purchased only tens of millions of dollars' worth, an amount insufficient to be considered a major new capital inflow. In this environment, 10x Research concluded that Bitcoin is likely to remain range-bound for the time being, making a short-term selling strategy relatively more advantageous.