According to a new report from CryptoQuant on July 11, Bitcoin is currently at a "critical point", with multiple on-chain indicators showing signs of further decline, while whales are experiencing the fastest Bitcoin accumulation rate in more than a year.

Despite Bitcoin’s rebound above $57,000, continued selling by the German government and the Mt. Gox payback threaten further declines.

CryptoQuant reports that the Profit and Loss (P&L) index is hovering near its 365-day moving average (MA). If the index falls below its 365-day MA, Bitcoin could start a major correction like the previous declines.

CryptoQuant’s Bitcoin Bull-Bear Cycle Indicator is also approaching a key level and “could turn into a bear market if prices fall further.”