The cryptocurrency market is currently exhibiting a "neutral or slightly bullish" trend: leverage pressure has decreased, and short-term selling pressure is easing. This was stated by a contributor to CryptoQuant under the pseudonym CoinNiel.  

Source: CryptoQuant.

According to the expert, the dynamics of inflows to centralized exchanges indicate moderate but insufficient accumulation of the asset. Over the past week, the net inflow was approximately 2,196 BTC, while over the last 14 days, outflows remained around 8,197 BTC.

“Mixed indicators suggest a volatile liquidity correction phase rather than a clear trend,” CoinNiel clarified.

He added that long positions still hold a slight advantage, but excessive leverage and optimism have weakened. Meanwhile, open interest in derivatives is gradually increasing.

Based on the available data, the analyst predicted about a 55% probability of a positive outcome for the Bitcoin market. To confirm the trend, it is essential to monitor funding volumes and exchange flows.

Other Observations

Analysts at Bitcoin Vector noted a gradual absorption of aggressive selling by the market, characteristic of a bear phase. 

Selling pressure is fading, but conviction has not returned yet.

The aggressive pressure that drove the bear market is gradually being absorbed.

However, holders are still realizing more losses than profits.

This is an early stabilization phase, not yet a confirmed recovery. pic.twitter.com/2tYREuIMqP

— Bitcoin Vector (@bitcoinvector) July 17, 2026

However, holders are still recording more losses than gains. This situation may indicate an early stage of stabilization.

A trader using the pseudonym gum compared the current market structure to the previous cycle. 

He claims that the weekly bullish divergence in 2022 lasted for 161 days before the onset of sustained growth, while in 2026, a similar period lasted 147 days. 

Bitcoin doing exactly the same as it did last cycle

Bullish divergence on the weekly & days till it started trending higher:

2022: 161 days
2026: 147 days

Both times the divergence ended with a new low for BTC, which was the cycle bottom

I’ll say it again, there’s no point in… pic.twitter.com/AoekHytwA7

— gum (@gumsays) July 18, 2026

According to him, the correction should conclude with a new local low, which will mark the cycle bottom. This level could range from $45,000 to $65,000.

It is worth noting that from July 13 to 17, Bitcoin ETFs saw a net inflow of $75.5 million. The products recorded their second consecutive positive week.