Why Bitcoin Price Can't Hold: Sentiment Indicator Turned Red!

As the critical indicator in Bitcoin turned downwards, whales on derivative exchanges entered risk-off mode.

Ki Young Ju, CEO of on-chain analysis platform CryptoQuant, attracted attention with his analysis dated June 22. In the said analysis, Young Ju stated that the Bitcoin IFP indicator turned red and emphasized that Bitcoin whales on derivative exchanges preferred to avoid risk.

Bitcoin IFP indicator turned red. Whales on derivatives exchanges are in risk-off mode.

He previously brought a bear season in Bitcoin

Looking at the chart, some of the IFP's previous turns into red were accompanied by downward processes. Especially in 2018-2019 and 2022, this signal turning red brought with it a serious bear season. However, according to the CEO's comment, the indicator in question does not work as a clear signal of an upward or downward trend in the Bitcoin price.

The Bitcoin IFP indicator (Indicator of Financial Performance), which reflects market sentiment by monitoring Bitcoin movements between spot and derivative exchanges, can be called "Bitcoin Financial Performance Indicator" in Turkish.

This indicator includes a set of financial metrics and data used to analyze Bitcoin's financial performance and market behavior. The Bitcoin IFP indicator helps investors and analysts better understand Bitcoin's price movements, market trends and potential risks.

According to CoinGecko data, Bitcoin, which has lost 5% of its value in the last 24 hours, is traded at $61,330 at the time of writing.