Bitcoin last traded around $59,000, down 1% on the day, and off about 12% from the record high of $69,000 set on Nov.
While profit-taking after the massive run-up in prices was emerging as the biggest factor, analysts pointed to bitcoin’s blockchain upgrade on the weekend, higher U.S.
Bitcoin has doubled in value since January.
Average funding rates fell to 0.00354% on Tuesday, according to cryptocurrency analytics platform CryptoQuant, their lowest since late September and down from 0.04122% on Nov.
Funding rates represent sentiment in the perpetual swaps market, a major part of the bitcoin derivatives world.
And perhaps more volatility in ETH and altcoins,” they wrote in a post on social media platform Telegram.