These Key Bitcoin Indicators Predict BTC Rally Is Not Over
Ever since the price of Bitcoin (BTC) crossed the $100,000 mark and hit an all-time high, there has been speculation that the cryptocurrency may have hit the top of this cycle. However, several key Bitcoin indicators suggest that this bias stems from personal opinion and is not supported by historical data.
At press time, BTC was trading at $101,449. this On-chain analysis Explains why the coin’s price may still have room to rise despite the recent consolidation.
Bitcoin continues bullish phase
One important indicator that Bitcoin prices may rise again is the Market Value to Realized Value (MVRV) long/short gap. Historically, this indicator has revealed when BTC is in a bull market or has turned bearish.
When the MVRV long-short difference is positive, it indicates that long-term holders have more unrealized profits than short-term holders. From a price perspective, this is good for Bitcoin. On the other hand, when the indicator is negative, it means that short-term holders have the upper hand, and in most cases, it means that short-term holders have the upper hand. bearish stage.
According to Santiment data, Bitcoin’s MVRV long-short differential has risen to 27.25%, indicating that the current cycle is a Bitcoin bull run. However, the reading was well below the 42.08 reached in March, which followed months of consolidation and correction. According to historical data, the current situation shows that BTC is poised to surpass All-time highs were reached just before the top of this cycle.
The realized holdings ratio (often called the RHODL ratio) is another key Bitcoin metric that supports this bias. The RHODL ratio is a widely considered market indicator designed to analyze Bitcoin’s market bottoms and tops.
A high RHODL ratio indicates that the market is overheated and there is a lot of short-term activity, and is often used to signal a cycle top or an impending correction. On the other hand, a lower RHODL ratio indicates strong long-term holding sentiment, implying undervaluation.
According to data from Glassnode, the Bitcoin RHODL ratio is above the green zone, indicating that it is no longer at a bottom. It is also below the red zone, indicating that BTC price has not peaked yet. If this remains the case, Bitcoin could rise above its all-time high of $103,900.
Bitcoin Price Prediction: Bitcoin Will Hit Higher Values
Judging from the daily chart, Bitcoin has formed a bull flag pattern. A bull flag is a technical pattern that indicates potential continuation upward trend. This pattern shows a flagpole, representing an initial strong upward move in price.
An uptrend at this time indicates active buying and increasing trading volume. However, the pattern is followed by sideways consolidation or downward consolidation near the initial move high. This is called a flag pattern, which is shaped like a rectangle or pennant and is formed by slightly lower highs and slightly lower lows.
Bitcoin appears to have collapsed Above the upper border of the flag. With this status, the cryptocurrency’s value could rise to $112,500.
However, if Bitcoin price drops Below the lower bound of the flag, the prediction may be invalid. This could also happen if key Bitcoin indicators turn bearish. In this case, the value could slide to $89.867.
Disclaimer
conform to trust project Guide, this price analysis article is for informational purposes only and should not be considered financial or investment advice. BeInCrypto is committed to providing accurate and unbiased reporting, but market conditions are subject to change without notice. Always conduct your own research and consult a professional before making any financial decisions. Please note that our terms and Conditions, privacy policyand Disclaimer Updated.
