Analysis: Bitcoin's on-chain structure shows signs of improvement, but capital inflows remain a key constraint.

PANews reported on January 16th that Matrixport stated in its latest weekly report that after a period of pressure at the end of 2025, Bitcoin's on-chain structure has shown signs of improvement. As long as the price can hold above key structural support levels, the institution maintains a cautiously bullish tactical outlook. Multiple valuation and positioning indicators are stabilizing, suggesting that downside risks have diminished compared to the previous period, and the market appears to be emerging from a period of fragility rather than entering a new round of pullback.

However, this recovery is still constrained by two factors: insufficient inflow of new funds and limited willingness of long-term holders to increase their holdings. If new funds cannot continue to enter the market, upward momentum will likely remain limited, and even if there is a brief breakout, it will be more difficult to form a sustainable trend. Overall, a more appropriate strategy is to participate cautiously and select opportunities carefully. Investors should remain in the market, but must adhere to discipline and wait for clearer confirmation from fund flows and on-chain profitability indicators before considering substantially increasing their risk exposure.