Will Bitcoin correct, which 2 levels are most critical?
Will Bitcoin going from 51K to 74K provide a buying opportunity?
My personal strategy will be to buy in every possible correction in Bitcoin, which has recently renewed its ATH. The reason is the interest rate reduction process awaiting us in the global economy and the bull cycle supported by Spot ETFs.
1- Pi Cycle Top: will history repeat itself?
The on-chain data you have been following most closely since 2022 is Pi Cycle Top.
When we examine the past bull cycles, Bitcoin failed to pass the green trend (350 DMAx2) you see on the chart in one try. However, this time Spot ETFs are on the scene. For this reason, I will closely follow the WEEKLY closings above and below this level, which is currently 69600.
2- Technical Data
Let's look at the technical data LTF (short term).
FRVP VAH (high buy zone) points to the 68K level. If the bulls can defend the 68000 - 69600 region, they can fend off this correction before it gets too deep. However, our intense exchange level below is 61818, any possible withdrawals up to this point are healthy.
Even though the momentum has weakened, it is still in the green zone and the RSI is below 50 points (we want it to be above 50 points for the upward movement to continue). Selling pressure is likely to continue.
3- NVT Golden Cross
Finally, let's examine NVT GC, another on-chain data.
When we look at the NVT GC data, it is moving towards -1.6, which is the oversold region. This data can help us find local bottoms (regionally).
✅Result
There will be no Spot ETF entries on the weekend, naturally the whales will have a say in the market.
It is useful not to ignore what I mentioned in the previous sentence. As a result, it is technically quite healthy for an instrument that goes from 51 to 74 to retreat halfway through this rally. But will the Spot ETF side and the whales allow this? No one can know this.
We must create our own strategy by evaluating the above data and stick to it.
The bull has arrived.
Thank you for reading 🙏
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