According to U.Today, Bitcoin might be on the verge of a potential price rebound, as suggested by the MVRV indicator. In a recent insight report, CryptoQuant highlighted that monitoring the Market Value to Realized Value (MVRV) ratio can be a valuable tool for investors, helping them determine if current market conditions align with historical currency trends. The MVRV ratio is currently around 2.1 and is attempting to break a downtrend. If successful, a sharp price increase after a retest might be anticipated, similar to previous cycles. Historically, an MVRV ratio of 3.7 indicates highs, while a ratio of one or below suggests lows. Bitcoin's current MVRV ratio of 2.1 is seen as a critical point to watch for potential price movements.
At the time of writing, Bitcoin was down 0.84% in the last 24 hours, trading at $64,396. Bitcoin rose above $66,000 on July 17 before falling below $65,000 and retested this level for most of July 18. Market analysts consider $65,000 as a strong resistance level. In the near term, a break above this level is being watched for a continuation of the Bitcoin price rise. If this occurs, Bitcoin might aim for a shot at the $66,000 level, and a break above it could see Bitcoin targeting its current all-time high near $74,000.
In the event of price declines, Bitcoin seems to be establishing support near the $63,000 level. The support provided by the 200-day Simple Moving Averages (SMAs) of around $62,700 is close to the zone where approximately 840,920 BTC were previously bought by 1.7 million addresses. Increased demand from this zone might push BTC prices higher in the event of a fall.
