Momentum indicators are highly useful tools for gauging the strength and direction of market trends. Even without dedicated momentum indicators, applying short- and long-term moving averages can provide a clear assessment of market trends.

The MVRV indicator reveals whether the market is overvalued or undervalued, while the Active Address indicator reflects investor activity on the BTC network. Applying moving averages to both indicators has revealed a death cross, a pattern that was also observed during the bearish reversal of the 2021 cycle. This has led to growing concerns about whether Bitcoin can stage another rally under these unfavorable conditions.

Despite these concerns, the overall market outlook remains optimistic. Historical data suggests that Bitcoin has the potential to recover and even thrive following periods of bearish trends. Investors are advised to closely monitor these indicators and market movements to make informed decisions.