Onchain metrics have hit a critical level for Bitcoin (BTC).

Onchain metrics have indicated a potential opportunity level for Bitcoin (BTC) based on miner activity.

According to one crypto analyst, a popular #Bitcoin indicator used by miners to measure selling activity is approaching a level that signals a buying opportunity.

“The Puell Multiple index is fluctuating between these two critical levels. If historical patterns continue, a bearish scenario where the index falls below 0.6 could signal another buying opportunity for investors,” CryptoQuant analyst Grizzly wrote in a post on August 31.

Grizzly explained that the range between 0.6 and 0.8 on the Puell Multiple Index is known as the “Decision Zone.” He noted that historical data dating back to 2014 has shown that when the index falls below the 0.6 threshold, it signals an ideal opportunity for #Bitcoin (BTC) Dollar Cost Averaging (DCA) strategies.

Traders often use the Puell Multiple index to estimate the health of miner revenues. For example, a high Puell Multiple can indicate low selling pressure, while a low Puell Multiple can indicate high selling pressure.

As of writing, the Puell multiplier is 0.69 points, according to Bitbo data. When Bitcoin reached its all-time high of $73,679 on March 13, the Puell Multiplier was 1.88. According to CoinMarketCap data, Bitcoin is currently trading at $58,416, down 8.98 percent in the last seven days.

The Puell multiplier, which was not often preferred in the past, has started to be taken into more consideration after BTC’s ATH. Crypto investors and analysts are currently giving importance to the Puell multiplier for BTC price analysis.