As indicated by price volatility in the last week, the Bitcoin market is still experiencing high investor unrest. The leading cryptocurrency lost 14% in value over the past month, which has heightened fears about an imminent bear market. Ali Martinez, an expert on the market, shared his insight into this speculation. Ali highlighted that a certain technical change historically occurs before a long-term downtrend.
Bitcoin Winter Phase To Start Only When Price Loses 730-Day SMA – Analyst
Then, you can also find out more about the following: X post on Friday, Martinez presents an on-chain analysis that identifies a key price zone for determining Bitcoin’s price trajectory amid current market volatility. Data from Glassnode’s Bitcoin Investor tool metric has shown that prolonged downtrends begin in Bitcoin when its price falls below a 730-day Simple Moving Average, currently at $82,150.
In context, this chart illustrates that, historically, 730-day SMA, an important indicator of long-term trends, has been a level for structural support in major market cycles. If Bitcoin is unable to maintain this level, the momentum will shift and lead to longer and deeper bearish cycles, such as those seen in 2015-2016, 2019 and 2022-2023.
Charts can also provide some interesting bullish information. Larger cyclical metrics, including the 730-day SMA × 5 band (pink) sitting at $410,771, remain well above the current price, indicating that macro overvaluation is not yet a concern, as the leading cryptocurrency remains far from an overheated zone. Ali Martinez believes that, so long as Bitcoin is above $82,150 the risk of any extended downtrend, synonymous with bear markets, remains low, and the bull structure continues to be intact.
Bitcoin Weekly Outflows Reach $800 Million as Accumulation Increases
Sentora has announced a new partnership with the on-chain analytics company Sentora reports The Bitcoin market has seen an increase of $805,000,000 in net weekly outflows. This indicates that investors have not been affected by recent price fluctuations. They are instead choosing to move more money off of crypto exchanges in order to wait for future price increases.
Total Bitcoin network fees have reached $1.96m, a 7.69% increase from last week. This indicates an increased in network and transaction activity. Bitcoin is currently trading at $89693, following a price drop of 2.71% in the past 24 hours.
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Source: www.newsbtc.com
