An analysis says bitcoin has recently acted as a leading indicator by reflecting corrections in broader risk assets ahead of traditional markets. Bitwise said bitcoin responds faster to changes in liquidity and financial conditions because it trades around the clock, with a pattern of weakening months before stocks. On-chain indicators, including a fall in an SSR RSI measure, and still-high stablecoin exchange balances suggest significant buying power may remain on the sidelines.

Bitcoin has pulled back 2.5 percent from a recent peak, but its upward trend remains intact, an analysis said. Market analysts pointed to four indicators supporting a continuing bullish structure: price momentum, improving stablecoin liquidity, rising network activity and stronger spot-market buying flows. Data showed stablecoin supply ratios recovering, on-chain transactions and active addresses increasing, and spot taker demand turning positive as Bitcoin held support near $80,000.