5 indicators to tell you whether Bitcoin has fallen to the bottom?

1) Bitcoin Rainbow Chart Indicator

The rainbow chart is a long-term valuation tool for Bitcoin. From a 10-year perspective, Bitcoin has been fluctuating within the range of the rainbow chart. Red and orange indicate that the market is overheated and are selling points; blue and green are buying and holding positions.

Currently, Bitcoin is still in the blue [worth buying] position, and according to the chart, even if the worst case falls below $50,000, it is suitable for buying.

2) MVRV indicator

MVRV stands for market value to realized value ratio. It is a relative indicator that represents the market value ratio of Bitcoin's total market value/the market value calculated from Bitcoin's last activity price, representing the profitability of Bitcoin holders.

MVRV＞3.5, the market has peaked, holders have made large profits, and prefer to sell;

MVRV＜1, the market is at the bottom, and most holders are at a loss.

The current MVRV indicator is 2.9, between the bottom and the top, suitable for continued holding!

3) 200-week moving average heat map indicator

Based on the color heat map of the 200-week moving average growth rate, from historical data, orange and red indicate that it is a good time to sell Bitcoin when the market is overheated; purple is a good time to buy close to the 200-week moving average.

Currently it is blue, which is a cold time, suitable for small purchases or holding.

4) 2-year moving average multiplier indicator

This indicator uses the 2-year moving average line (equivalent to the 730-day line, green line) and the 5-fold product of the moving average line of the line (red line), mainly indicating in which periods the return of buying Bitcoin is the largest.

Also look at the line, below the green line is a bottom-picking buy signal, and buying is more likely to obtain excess returns; the red line is a signal to escape the top, and selling Bitcoin can obtain greater returns.

At present, it is in a position where it is neither up nor down, and there is still a distance from the red line.

5) Bitcoin spot ETF net inflow/outflow

The importance of tracking Bitcoin spot ETF cannot be overemphasized. Although Mentougou and the German government are selling now, we can observe whether there are institutional funds taking the opportunity to pick up cheap chips.

In summary, no matter what indicators are, it is not worth selling chips now, hold on!

#BTC下跌分析 $BTC