Retail Investors Are Growing Influence in the Bitcoin Market

The Bitcoin (BTC) market has been showing unusual dynamics in recent months. Despite the accumulation of coins by institutional investors, the asset price remains in a narrow range without strong jumps. According to experts, the main factor in this stability was the decrease in activity on the part of large participants in the futures market. Against this background, the role of retail traders is growing, whose small transactions have gradually begun to influence the price movement.

The data shows a drop in the average order size on exchanges. Average Order Size, which is calculated as the volume of trades divided by the number of trades, indicates less activity by whales. Retail traders now account for a larger share of transactions. This is reflected in the overall structure of the market, where large orders no longer determine trends.

Futures activity confirms this trend through the Futures Volume Bubble Map. It shows a clear decrease in participants' interest in large transactions and a general cooling. Trading has become less intense, which makes the market less volatile, but also more unpredictable. This state often precedes the transition to a new stage of price movement.

Analysts pay special attention to the CVD (Cumulative Volume Delta) indicator for 90 days. It records the imbalance between buyers and sellers. The data show that the pressure from the latter is gradually increasing. This indicates the formation of bearish sentiment among futures market participants.

The increased retail influence coupled with the predominance of sales creates the preconditions for further price declines. “Until the whales return to the game with new volumes, the market may remain in a sideways movement. Many investors are already perceiving this stagnation as a signal for caution,” the experts said. Analysts believe that the return of activity from large holders could be a key factor in resuming the growth of BTC quotes.

Source: cryptonews.net