Bitcoin has recently soared back to a market capitalization of one trillion dollars, solidifying its dominant position in the Crypto Assets space. However, behind this prosperous scene, the market structure is quietly changing, hiding both opportunities and challenges.

First, market liquidity is under pressure. Traditional investment channels such as the Grayscale Bitcoin Trust (GBTC) are experiencing massive capital outflows. Although the spot ETFs launched by institutions like BlackRock have injected new vitality into the market, overall liquidity still faces challenges. The emergence of ETFs is like a double-edged sword; it provides investors with a compliant market entry path while also exacerbating the flow of short-term capital and speculative behavior.

Secondly, the movements of large holding addresses attract attention. On-chain data shows that "whale" accounts that hold a large amount of Bitcoin have recently been frequently reducing their holdings, which may affect market sentiment. At the same time, the growth rate of network hashing power has slowed, suggesting that some miners may be cautious about the upcoming block reward halving. These factors together put pressure on the short-term technical aspects of Bitcoin, and a price correction of around 35% cannot be ruled out.

However, the gradual improvement of the regulatory environment has brought positive signals to the market. Hong Kong has recently approved virtual asset spot ETFs, opening new compliant investment channels for Asian investors. Such regulatory progress is expected to introduce more stable capital flows to the market in the medium to long term.

Although Bitcoin's current market capitalization is high, investors must remain vigilant about the undercurrents in the market. Factors such as changes in liquidity, actions of large holders, and the evolution of regulatory policies intertwine to create a complex and ever-changing market situation. Wise investors should look beyond the surface prosperity and analyze changes in market structure, seeking structural opportunities amidst the volatility. In this uncertain market environment, maintaining a clear and cautious investment attitude is crucial.