While all investors and the market were waiting for the historical moment in Bitcoin, BTC said hello to $ 69,000 yesterday evening.
However, this happiness did not last long, and with the selling pressure from $ 69,000, BTC rose to $ 59,000 in about 5 hours.
While the market was painted red with this decline, this decline made investors nervous.
While it is still unclear whether the correction is over or not, successful analyst Ali Martinez said that Bitcoin is on the verge of a harsher correction according to the MVRV indicator, which is currently at 19.57%, based on Santiment’s data.
Accordingly, the analyst warned investors by stating that every time the MVRV indicator exceeds the 18% threshold since February 2021, the Bitcoin price has fallen by 24% to 55%.
According to historical data, a worrying situation awaits Bitcoin, and if this pattern repeats, a decline of at least 24% would mean that BTC could fall to $ 52,000.
Stating that the MVRV indicator and the MVRV-price trend in Bitcoin should be closely followed by investors, the analyst said:
“The Bitcoin MVRV indicator is currently at 19.57%! Every time it has crossed the 18% threshold since February 2021, the BTC price has dropped between 24% and 55%.”
Traders need to follow the MVRV indicator and this trend because it predicts a steep price correction!”
Calls to Buy the Drop Increased!
Apart from Martinez, Santiment also shed light on a different aspect of Bitcoin’s rise, saying that the temporary celebration of Bitcoin reaching its all-time high was overshadowed by concerns as the price dropped by 7%.
Pointing out that “calls to buy the decline” after the decline in Bitcoin increased to the highest level in recent months, Santiment said that, historically, when there is a decrease in the calls to buy the decline, these declines present a real buying opportunity.
“Bitcoin’s brief AllTimeHigh celebration was quickly replaced by crowd concerns over a 7% price drop.
BuyTheDip calls hit a multi-month high. Historically, when the number and urgency of bearish buying calls ceases, this presents a real buying opportunity.”
📈📉 #Bitcoin’s short-lived #AllTimeHigh celebration was quickly replaced with crowd concerns over a -7% price drop. #BuyTheDip calls are at their highest level in a couple months. Historically, once urgency dies down, this is the true opportunity to buy. https://t.co/AGuuXkwLwH pic.twitter.com/nqNEzcXc0W
— Santiment (@santimentfeed) March 5, 2024
*This is not investment advice.
