Home - Bitcoin - Is Bitcoin (BTC) Nearing Bottom

Coinposters

August 26, 2022

Is Bitcoin (BTC) Nearing Bottom

Consumer Price Index (CPI) statistics were released, and this led to a brief surge for Bitcoin and other cryptocurrencies. The recent price movement seems to indicate that the rise is coming to an end. The case that a Bitcoin bottom is imminent is supported by a number of measures. According to experts, BTC is now undervalued, which portends a price increase in the near future.

The leading cryptocurrency asset, Bitcoin, is trading at depressed levels as the macroeconomic environment remains adverse to it. Approximately five technical indications support the idea that Bitcoin has not yet reached its full potential. Last week saw a substantial decline in the profit supply of Bitcoin (BTC), which is presently 56% of the overall supply. Tracking the percentage of traders with unrealized earnings and losses is crucial.

According to CoinMarketCap, the price of one bitcoin is now $21,612, down 0.78% over the last 24 hours. BTC is up 0.56% on a weekly basis. Analysis of the net unrealized profit or loss shows that BTC holders are now suffering a 1% loss (NUPL). To assess if the network is now in a profit or loss, look at NUPL, which is the difference between unrealized profit and unrealized loss.

Additionally, long-term Bitcoin (BTC) owners are already losing 44% of their investment when they use their currency. According to the Puell Multiple, which gauges miner income growth over a year, Bitcoin is presently in the zone of accumulation.

The MVRV ratio is once again below 1, which, according to Crypto Quant statistics, means that the typical bitcoin holder is losing money. A ratio of an asset’s market capitalization to its realized capitalization is known as the market value to realized value (MVRV). When comparing the measures, it is possible to determine if the price is above or below fair value.

Share
Also Read:  MicroStrategy Wants to Buy Even More Bitcoin