Analysis of Bitcoin HODL Waves data indicates a muted response from investors during the July price dip. When Bitcoin dropped to $57,800 on July 1, the supply dormant for one to seven days was 1.97 percent, rising only to 2.35 percent by July 5.
Analyst Willy Woo described the lack of typical buying activity as an anomaly. He suggests that the bottom was likely reached through slow, steady accumulation by a small number of investors or a single whale, rather than a broad market reaction.
The data has sparked debate regarding whether July established a new bear-market bottom. Analyst Rekt Capital noted that Bitcoin remains in a downtrend of lower highs and warned that a weekly close below $78,300 could lead to further price declines.
Despite the July caution, market sentiment shifted in August. US spot Bitcoin exchange-traded funds recorded $3.8 billion in net inflows over a three-week period, signaling a recovery in buyer appetite.
