CryptoQuant CEO: Bitcoin Enters ‘Boring’ Sideways Phase as Inflows Stagnate

Ki Young Ju’s view challenges both crash narratives and rapid bull expectations, pointing instead to an extended period of low excitement.

Bitcoin (BTC) inflows have dried up, according to Ki Young Ju, CEO of CryptoQuant, who said the market is likely headed for several months of flat, calm price movements rather than a dramatic sell-off.

His comments are important because they call into question both fears of a crash and near-term bull expectations, at a time when Bitcoin is trading just below key recovery levels after a volatile end to 2025.

Capital rotation replaces the old Bitcoin cycle

Ki wrote on X noting that there is no longer fresh capital flows in a meaningful way in Bitcoin. Instead, money has been converted into stocks and commodities, which he called “stocks and shiny rocks.” He argued that this shift, combined with structural changes in the market, makes timing inflows much less useful than in previous cycles.

According to Ki, the traditional pattern of large farmers selling their produce to meet retail demand has weakened. Long-term institutional ownership has changed supply behavior, and he dismissed fears that big companies would suddenly flood the market with coins. He pointed to Strategy’s 673,000 BTC supply and said the company is unlikely to sell a meaningful portion.

As a result, Ki says a deep decline similar to previous bear markets seems unlikely. Instead of a violent decline from all-time highs, he expects what he describes as “boring sideways” price action in the coming months. He added a blunt warning to traders betting on a sudden collapse:

“Shorting here hoping for a nuclear bomb? Good luck with that.”

Not everyone agreed. A reply from X user Inner Edition captured the frustration among smaller investors, proverb they were “extremely disappointed” and wondered if there would be a bull market at all. Ki responded by urging patience, to compare Bitcoin towards something that improves with time rather than rapid speculation.

On-chain data supports a slow, arduous phase

A recent report from analyst CryptoZeno provides context to Ki’s prospects. According to them, Bitcoin’s net unrealized gain/loss is to sit near the 0.3 level, a zone that has often functioned as a bandwidth between recovery and new risk-taking. The data shows that average bondholders have returned to modest gains, but nowhere near the excesses seen late in recent cycles.

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Glassnode also reiterated that view in its Week On-Chain report released on January 7 described the flagship cryptocurrency entering 2026 with a “cleaner market structure” after a major reset. Profit-taking has subsided, derivatives positioning has cleaned up, and US spot ETF flows have turned positive again, albeit still unevenly.

Other market watchers, however, remain divided. For example, Bitwise CIO Matt Hougan believes that BTC’s recovery can continue into 2026 if regulatory uncertainty in Washington subsides and stock markets avoid a steep decline. Meanwhile, more cautious voices, such as the pseudonymous Doctor Profit, still see risks of lower prices later this year, despite limited near-term downside.