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Bitcoin Rebound Faces Headwinds

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Bitcoin's weekend recovery to $63,000 is being met with skepticism from analysts, who cite persistent headwinds. Spot ETF outflows have continued, indicating waning institutional demand, while CME Bitcoin futures volatility suggests elevated hedging activity. These factors undermine the sustainability of the rally.

Technical indicators show Bitcoin struggling to hold above key resistance levels, with volume declining during the rebound. The market remains range-bound, and without a catalyst to reignite bullish momentum, the risk of a retracement remains high.

Given the divergence between price action and underlying flows, the short-term outlook is cautious. A break above $65,000 would be needed to shift sentiment, but current data favors consolidation or a pullback.

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