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Market Drivers: Why Volatility Keeps Expanding
Despite constant speculation, the recent downside is not driven by a single bearish catalyst. Instead, it reflects a broader macro-driven risk adjustment.
Key factors influencing price action:
Uncertainty around interest rate cuts and liquidity conditions
Risk-off behavior across equities and commodities
Elevated leverage in crypto markets leading to cascading liquidations
This environment tends to punish overconfidence. Sharp drops are often followed by equally sharp relief rallies — but without clear continuation. That’s why the market currently feels unstable: price is searching for equilibrium, not direction.
Importantly, none of this signals long-term weakness in Bitcoin’s fundamentals. The network remains strong; the pressure is mostly positional and macro-related.