Market Outlook: Crypto ‘Relief Rally’ on the Horizon

The cryptocurrency market is gearing up for a potential rebound this month following a turbulent June. Recent data indicates a slowdown in selling pressure as stablecoin outflows from exchanges decrease.

Key Insights

• Analysts anticipate a “relief rally” after a period of small trader capitulation in June.
• Negative market sentiment and trader losses may signal the beginning of a bullish trend.
• Bitcoin experienced a nearly 7% decline in June, hitting a low of $59,500.
• Total crypto market capitalization dropped by $400 billion from its peak.

Crypto intelligence platform Santiment shared its optimism for July, highlighting signs of exhausted sellers. Similarly, analyst Minkyu Woo noted a decrease in outflows from exchanges, indicating reduced selling pressure and a shift towards a more positive sentiment among investors.

As Bitcoin currently trades around $62,950, some challenges lie ahead, including the unlocking of $9 billion in BTC by the long-bankrupt Mt. Gox exchange. This influx of BTC into the market could potentially impact prices as creditors seek to liquidate their holdings.