BTC's realized profits are at a 14-month high, raising concerns. A price correction might follow if this trend continues.
A continued jump in average trader returns may lead to a price correction.price breached the psychological $30,000 price point to exchange hands at $31,200 during the intraday trading session on 3 July.
According to data from Santiment, BTC’s MVRV ratio was a positive 0.776 at press time, suggesting that the leading coin was overvalued.Typically, when an asset’s MVRV ratio is overvalued, market participants have bid up the price of such an asset beyond what is justified by its historical average realized value.
This may be due to speculative buying, investor exuberance, or other factors driving the price higher in the short term. In such situations, a price correction or a period of consolidation often follows. Further, a look at the ratio of BTC’s on-chain transaction volume in profit to loss spike showed that BTC profit-taking transactions have been happening twice as fast as loss-taking transactions for several weeks.Source: Santiment
On the price chart, BTC’s price rested close to the upper band of its Bollinger Bands indicator. This suggested that the coin’s price was nearing the upper limit of its recent price range. It is often taken as an indication of a potential price pullback.Key momentum indicators such as the Relative Strength Index , Money Flow Index , and Chaikin Money Flow were positioned above their respective center lines . However, BTC’s Aroon Up Line was in a downtrend at 21.43%.
Nigeria Latest News, Nigeria Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Institutional demand for Bitcoin prevails despite SEC roadblocks, thanks to…Large funds begin to accumulate Bitcoin despite SEC's recent actions towards the cryptocurrency sector. Traders turn hopeful as number of call positions taken for Bitcoin increase.
Read more »
Bitcoin July 3 daily chart alert - Bulls have the firm technical advantage
Read more »
Crypto SWOT: The U.S. SEC says recent spot Bitcoin ETF filings are inadequateCommentaries from industry expert Frank Holmes focusing on gold price movements, what's moving markets and what to expect in the metals sector. This includes his weekly Gold SWOT analysis, which is also featured in his own Kitco News show Gold Game Film
Read more »
Bitcoin holds ground at $30,000: Traders find solace in patienceMany continue to hold on to their BTC as the general market awaits when the leading coin will breach the $30,000 price level.
Read more »
Bitcoin bulls eye $31,500 as ETF optimism propels crypto prices higherCrypto prices trended higher on Monday after multiple firms, including BlackRock, refiled their spot Bitcoin ETF applications naming Coinbase as the SSA exchange partner.
Read more »
BlackRock re-files spot Bitcoin ETF naming Coinbase as SSA exchangeBlackRock has resubmitted its spot Bitcoin ETF application naming Coinbase as its surveillance-sharing agreement partner, which helped lift Bitcoin back above $31,000.
Read more »