Bitcoin supply and demand imbalance Analysts optimistic about long-term trend

[Block Rhythm] On July 16, it was reported that 21Shares' crypto research strategist Matt Mena stated that Bitcoin is unlikely to enter a downward trend in the near future, as its current movement is supported by solid fundamentals.

Matt Mena stated: "There is a structural imbalance between the surging demand and rapidly decreasing supply, making the possibility of a long-term correction increasingly unlikely. Currently, the positive news in the market far outweighs the negative. The supply of Bitcoin held on cryptocurrency exchanges and over-the-counter (OTC) platforms remains at historic lows, while the demand for Bitcoin in the market continues to rise. From the supply side, the fundamentals of Bitcoin are leaning more towards tightening."

Bitcoin reached a new all-time high of 122,884 USD this Monday. A trading platform stated that new buyers entering the market are not sensitive to prices and are buying Bitcoin at a pace faster than miners are producing coins. Bitwise Research Director André Dragosch noted last Friday that the search interest for the keyword "Bitcoin" on Google has not significantly increased, which may indicate low interest from retail investors. Although Bitcoin has set a new historical high, retail investors have hardly entered the market.