BlockBeats News, August 1st, a Bitfinex analyst released a report stating that in the Bitcoin sell-off at the end of June, derivative traders had been largely liquidated. Bitcoin broke below $58,000 on July 1st, and since then, the average daily settlement amount has remained well below the typical range of $400 to $500 million this year, indicating that despite experiencing a macro impact, the forced selling pressure was minimal. The analyst mentioned, "The cryptocurrency market has seen a smaller decline compared to the leveraged stock theme because the 'fuel' for forced selling has been depleted."

The Bitfinex analyst expects investors to remain defensive heading into next week's U.S. jobs report (the next major macro catalyst after the Fed meeting). They believe that rather than worrying about another round of forced liquidation, the key question is whether inflows into spot Bitcoin ETFs can return to the market once there is a clearer assessment of the Fed's path.

The analyst wrote, "We believe that positions will remain defensive as long as there is a risk of Fed rate hikes. The signal that traders are still waiting for is whether institutional buyers will be active or price-insensitive."