Analyst sees broader crypto correction as Bitcoin demand weakens

Current macroeconomic conditions are weakening Bitcoin demand, and a broader correction across the cryptocurrency market is likely unless the backdrop improves quickly, crypto analyst Darkfost said. Darkfost said spot demand for Bitcoin is struggling to hold current levels, with spot-demand indicators turning negative over the past 24 hours. Futures demand remains positive, but the trend has clearly weakened, Darkfost said. On the institutional side, macro conditions are not strong enough for investors to take on the risk of assets such as Bitcoin, while the Coinbase Premium Index has remained negative for several days, according to the analyst. Darkfost added that U.S. ETF flows are also showing net outflows across crypto ETFs, including Bitcoin products. As a result, macroeconomic and geopolitical news is now driving the market, and the White House could make announcements aimed at addressing a sharp rise in bond yields, Darkfost said.