Bitcoin: History Suggests BTC Will Likely Be Back in Business After
Financial Analyst
- The price of BTC has moved slightly in the last 24 hours.
- Market indicators suggested that there will be a few more subdued days.
Investors may have been worried in recent days as the price of Bitcoin [BTC] experienced several corrections.
However, you must not lose hope as this may just be another testing phase that could end with another bull rally.
What History Shows
Over the last week, there hasn’t been much volatility in terms of BTC’s price action as there has been little change in the king of crypto’s value. A similar trend was also observed in the last 24 hours.
According to CoinMarketCapBTC was trading at $64,796.66 at the time of writing, with a market cap of over $1.27 trillion.
However, there is a possibility that the price of the coin will become volatile in the following days. Mustache, a popular crypto analyst, recently posted a tweet in which he mentioned that BTC is in a “retest” phase.
Considering history, BTC could soon begin an upward rally as the coin turned bullish when its price reached a similar pattern in 2017 and 2020.
Therefore, AskFX checked Bitcoin’s metrics to determine the chances that the coin actually triggered a bull rally.
The metrics look pessimistic, however
Despite a historic uptrend, Bitcoin’s on-chain metrics continued to look pessimistic. For example, according to our analysis of CryptoQuant data, aSOPR was red.This meant more investors were selling for a profit. In the middle of a bull market, this could indicate a market top.
Its binary CDD followed a similar trend, meaning long-term holders’ movements over the past seven days were above average. If they have been moved for the purpose of selling, this can have a negative impact.
CryptoQuant
However, other metrics told a completely different story. At the time of publication, Bitcoin’s exchange rate was declining, indicating that there was little selling pressure.
In addition, the funding ratio and
taker buy sell ratio were in the green. This suggests that the derivatives market was dominated by buying sentiment. Read
Bitcoins Price Prediction [BTC] 2024-25 AskFX checked the daily chart of BTC to determine the direction of the coin.
Read the
Bitcoin Price Forecast2020-25[BTC]According to our analysis of the TradingView chart, investors may also experience a few slow days as the Relative Strength Index moves sideways in the neutral zone. The Money Flow Index also followed a similar trend as the Relative Strength Index (RSI), suggesting that there is a high probability of less volatile price movements.
TradingView
