Bitwise CIO Sees Bitcoin Market Bottom Forming Ahead of Fall Rally

BTC0.72%
According to Bitwise CIO Matt Hougan, in a July 1 analysis, current bitcoin market volatility reflects late-cycle leverage unwinding rather than structural weakness in demand. Hougan attributed recent STRC (Microstrategy's perpetual preferred equity instrument) volatility to excess leverage removal, which historically precedes new bull markets. He highlighted three potential bottom signals: MSTR trading at a discount to net asset value, the Crypto Fear and Greed Index approaching all-time lows, and leverage funding rates turning negative, indicating more retail interest in shorting than going long.
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