- BTC losses exacerbated negative sentiment on the crypto bull run prospects
- Despite the pullback, analysts suggested the market has not yet peaked.
Bitcoin [BTC] posted further losses on Monday, June 25, falling to $58.6K during the intra-day trading session as market sentiment fell.
The risk reduction was also visible across the US BTC ETFswhich recorded the seventh day of outflows on Monday for a total of $174.45 million.
Negative sentiment has worsened due to the looming oversupply of BTC from Mount Gox, German authorities and BTC miners.
On Monday’s sale, more than 57,000 BTC, or $3.4 billion value of the king’s coin was dumped. This begs the question: has the crypto bull been run over?
Has the crypto bull been run over?
As a market leader, BTC’s movement measures the pace and status of the crypto bull run.
Interestingly, the historical evaluation of the RSI (Relative Strength Index) suggested that there was more room for a bull run. RSI tracks the buying and selling strength in the market.
Per X (formerly Twitter) user and analyst TechDev_52the RSI channel, which has accurately flashed the market’s top and bottom, had yet to show a top at the time of writing.
Source: X/TechDev_52
The chart shows that a retest of the RSI channel marked the bottom of the market, while a rise to the highest range corresponded to the top of the market.
Still on the price charts, another market cycle analyst, Rekt Capital, also downplayed recent BTC retracement fears. He noted That,
“The average recoil depth is -22%. The average retrace length is 42 days. This current pullback is -16% deep and lasts 35 days. This current recoil is not even average in depth or length’
Source: X/Rekt Capital
Another data point in the chain also suggested that the crypto bull run was not over yet.
The Market Value to Realized Value (MVRV) Z-score, which measures the top and bottom of the BTC market from a long-term perspective, also had yet to be determined. flash a top signal.
Typically, the market top occurred after the metric reached the value above 6 (highlighted in red) or the trend resistance.
Source: Glassnode
That said, the short term BTC headwind of the supply glut associated with Mount Gox and others could slow a strong upward trend. However, the long-term projection suggested that there was more room for the crypto bull run to expand.