Bitcoin has presented a sluggish performance lately, following the latest market-wide slump. Last week’s BTC performance wasn’t attractive as price tendencies painted red charts. While publishing this blog, Bitcoin recorded a 6.92% loss within the past week. Also, the bellwether crypto traded weakly around the $20K value area.
When will BTC’s turmoil end? The dark days could persist as some metrics and reports suggest more declines. Nevertheless, most trust trend reversals will emerge soon. Bears seem dominant in the space as most assets surrendered their crucial price levels.
Confusing Market?
Economists made multiple speculations about future potential as the market slumped. For example, CryptoQuant’s writer Maartunn stated that the latest massive transaction could affect the market. Meantime, price declines usually follow such transactions.
Maartunn highlighted that it remains challenging to gauge market impact. He isn’t sure whether the market will see further downside or May-like consolidation. Nevertheless, some Twitter users change the narrative. Gert van Lagen, a technical analyst, observed a head & shoulder setup on Bitcoin’s chart, indicating possible price surges in the upcoming days.
As usual, the crypto community adopted a heterogeneous response, as some individuals found it unreasonable to accept. However, Various on-chain indexes support Lagen’s findings. Despite bearish prices, Bitcoin wallets with non-zero balances maintained stable increments within the last few months. That hinted at surged investor confidence and hope in the leading digital coin.
What Next
Though some metrics supported upside possibilities soon, others painted a gloomy future for Bitcoin. While writing these lines, BTC’s supply in loss neared a three-month peak since the mid-June sessions. The numbers plunged significantly early this month before taking a U-turn amid the latest price dip.
Furthermore, BTC’s MVRV ratio stayed well beneath the one level, which usually indicated a market bottom. However, previous figures highlight possible downside continuation, with the MVRV ratio recording lower lows compared to its current position within the past few months.
The varying opinions within the cryptocurrency community, mixed metrics, and volatile crypto market nature make it challenging to forecast Bitcoin’s future. Nevertheless, time will reveal.
Stay tuned for the latest crypto news.