Investors are showing caution as Bitcoin struggles to sustain its recent high prices. The current price of BTC is $64,150, with most altcoins showing a decline. Ether, another popular cryptocurrency, is trading at $3,100. Given these circumstances, what can we expect in the crypto market moving forward?

The cryptocurrency market is experiencing an intriguing phase with recent data from the US raising concerns about stagflation. There are worries about a contracting economy alongside persistent inflation trends. While last week's GDP and data supported these concerns, the Federal Reserve is awaiting more evidence of decreasing inflation before considering interest rate cuts.

Market analysis by DecenTrader revealed that Bitcoin's recovery was triggered by funding rates for Bitcoin shifting to a more neutral position after falling negative over the past weekend. The change in sentiment in funding rates from exchanges, as shown by Coinglass data, indicates a neutral stance. When rates are negative, it signals a decline, but the current neutral funding rate suggests uncertainty with a rate of about 0.5% weekly. Although the downward trend seems to have reversed, a lack of bullish momentum could lead to a reversal.

Renowned cryptocurrency commentator Ali Martinez highlighted a strong demand zone between $57,000 and $64,000 for Bitcoin, suggesting that prices might stabilize in this range for some time. Martinez also noted that the recent price drop pushed the MVRV ratio below the 90-day moving average, signaling it as a favorable buying opportunity. Data from IntoTheBlock indicates that whales (large investors) have been accumulating significantly during price dips. However, these accumulation phases have been followed by subsequent price increases, with whale accumulation gradually slowing down. This could imply that major investors are becoming less enthusiastic about buying at bottom price levels.