Journalist
Posted:
- BTC witnessed a price correction that caused its value to fall below $26,000.
- Statistics showed that investors accumulated more BTC during each price correction.
Bitcoin [BTC] has been pretty inactive for several weeks now, failing to cross the $26,000 mark on multiple occasions. The sluggish movement affected the entire market as interest in crypto declined. However, if the statistics are taken into account, there is the possibility of a trend change in the coming days.
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This can make Bitcoin’s price volatile
After the price of the king of cryptos reached $27,000, he witnessed another price correction, pushing it below $26,000 once again. According to CurrencyMarketCapAt the time of writing, BTC was trading at $25,685.36 with a market cap of over $500 billion.
However, CryptoCon pointed to a benchmark that suggested the possibility of a change in BTC’s price trend. According to the tweet, Bitcoin typically enters a bull market once the weekly Relative Strength Index (RSI) crosses the 50 mark. Historically, when the weekly RSI recovers from two levels of support, it is followed by bull markets after a fake crossover.
Usually the #Bitcoin Bull Market is launched as soon as the weekly RSI crosses the dotted center line.
But every cycle #Bitcoin makes a false crossing and fails to trigger the bull market.
After the surge to 32k, the fake out… pic.twitter.com/9ImfvdIDYr
— CryptoCon (@CryptoCon_) September 4, 2023
At the time of printing, BTCThe weekly RSI had a value of around 43, which is close to the first level of support. If the price manages to recover, the chance of a price increase is therefore likely. BTC’s Chaikin Money Flow (CMF) registered a small increase, raising the likelihood of a recovery.
However, the MACD remained bearish, indicating that the RSI could be pushed to the second level of support.
Source: TradingView
Bitcoin’s accumulation phase is coming to an end
While there were opportunities BTCWhile the price became volatile, other data sets revealed that the accumulation period is coming to an end soon. According to the November 28 cycle theory, Bitcoin’s accumulation phase is about to end in a few months.
Time in the #Bitcoin N28CT’s green year is coming to an end, and with it the time for best cycle buy prices.
The Green Year has bottomed out at 15.5 thousand in November 2022, predicting the best buy prices.
It also came close to his next prediction,… pic.twitter.com/qymGzeBh4i
— CryptoCon (@CryptoCon_) September 4, 2023
This also aligns with Bitcoin’s upcoming halving, which could act as a trigger for BTC to hit a new all-time high. Historically, the price of BTC has always reached new highs a few months after the halving.
A look at Santiment’s chart revealed that investors took advantage of BTC’s slow-moving price as they were stocking up on the asset during its accumulation phase. Whenever the price of BTC fell, outflows from the currency spiked, meaning investors bought the coin.
Source: Sentiment
Read Bitcoins [BTC] Price Prediction 2023-24
In addition, whale trades also increased during these incidents. This meant that the big players also gathered. Additionally, BTCSupply on exchanges fell, while off-exchange supply increased in recent weeks, reflecting the stockpiling trend.
However, a reversal in that trend can be seen during the last price correction on September 1, which showed that investors were selling BTC.
