As a seasoned crypto investor with several years of experience under my belt, I’ve learned to read between the lines when it comes to market data and trends. And based on the latest analysis from IntoTheBlock, I’m feeling bullish about Bitcoin.
Despite Bitcoin‘s volatility, which led to a significant drop during the London trading session on April 30, recent data from IntoTheBlock indicates that the market actually remains robust.
On X’s recent blog post, it was pointed out that Bitcoin is currently experiencing a mid-stage bull market. Although the price dip may have been fueled by large investors selling off their Bitcoins, the majority of Bitcoin owners continue to make a profit.
86% Of BTC Holders Are In The Money
As I conduct my research at present, Bitcoin (BTC) is making its way towards the significant price mark of $60,000. It has experienced a decline of approximately 16% from its all-time highs. Following the substantial growth in Q1 of 2024, Bitcoin has been trading within a defined range. Analysts have identified potential support levels at $60,000 and $61,000.
In other words, the resistance level for the price is currently at $68,000 – a price point that bulls have been unable to surpass since April 22.
At current market prices, approximately 86% of all Bitcoin (BTC) owners are enjoying a profit. While this figure represents a decrease from previous levels, it may be indicative of a period of price stability after the significant increases seen in Q1 2024.
As a crypto investor, I’m thrilled to share that by mid-March, Bitcoin had surpassed its previous highs from 2021 and reached new all-time highs of $73,800. This means that every single person who purchased Bitcoin, even at the peak prices from last year, has now made a profit. What an exciting time to be part of this dynamic market!
With prices stabilizing, there’s widespread optimism among market participants. Certain analysts predict a significant price surge as the bullish trend from February to March resumes.
Bitcoin Market Is Balanced, Are Whales Entering Or Exiting?
To date, the Market Value to Realized Value (MVRV) ratio for Bitcoin stands at 2.17, indicating a high level of confidence based on this metric. The MVRV calculation determines the relationship between Bitcoin’s current market capitalization and the total value realized from all BTC transactions that have occurred in the past.
Analysts employ the MVRV (Market Value to Realized Value) ratio as a tool to assess average profit levels at various price points. When this ratio surpasses 1, it generally indicates that Bitcoin holders have incurred losses. However, when it significantly rises above 1, like now, it signifies an opportunity for investors to realize profits by selling their holdings.
As a researcher studying historical market trends, I have found that extreme selling tends to occur when the Market Value Realized to Value (MVRV) ratio surpasses 3.7. Conversely, when the MVRV ratio is around 2.17, the market typically exhibits a neutral stance, with holders generally maintaining an optimistic outlook.
Despite increasing confidence, It’s important to note that IntoTheBlock has identified some possible obstacles that could hinder the price surge or, conversely, fuel further growth. In the past week, this platform detected significant trading activity from whales, with transactions exceeding $100,000 resulting in over $91 billion in total volume.
Deep-pocketed investors, such as institutions, could either be buying more shares (a positive sign) or selling them off (bad news for optimistic market observers), potentially slowing down the current upward trend in the market.
Read More
- SOL PREDICTION. SOL cryptocurrency
- LUNC PREDICTION. LUNC cryptocurrency
- BTC PREDICTION. BTC cryptocurrency
- TON PREDICTION. TON cryptocurrency
- USD COP PREDICTION
- USD ZAR PREDICTION
- USD PHP PREDICTION
- ENA PREDICTION. ENA cryptocurrency
- Top gainers and losers
- PHB PREDICTION. PHB cryptocurrency
2024-05-01 03:11