Bitcoin Correction Seen as Liquidity Cycle, Not Structural Shift: Bitget CEO

Bitcoin's recent decline has some market observers predicting a prolonged consolidation phase. However, Gracy Chen, CEO of Bitget, believes this downturn is merely a correction, not a structural shift in the broader crypto trend.

In an interview with Business Standard, Chen noted that Bitcoin has historically been sensitive to liquidity cycles and that periods of volatility are not unusual. She pointed out that stronger US economic data has reduced expectations for near-term rate cuts, which may have contributed to the recent decline.

Chen emphasized that ETF participation remains strong, institutions continue to view Bitcoin as a long-term asset, and market attention will likely return once current macro uncertainty begins to ease. The Bitget CEO also highlighted that crypto exchanges are now more diversified, with various revenue streams beyond spot trading.

In contrast to previous cycles, Chen believes investors are now more disciplined, focusing on platform security, reserve transparency, liquidity, and long-term allocation strategies. Institutional participation has also changed the market, with investors making more informed decisions in response to macroeconomic events.