Bitcoin Will Decide Between Life and Death: Stay Tuned for Monthly Data!
CryptoQuant analysts have evaluated the technical indicator that points to a major bearish trend for Bitcoin.
After reaching an all-time high (ATH) in March 2024, the 30-day moving average (DMA) has been falling rapidly and is currently touching the 365-day moving average (DMA).
According to CryptoQuant analysts, the MVRV ratio is currently fluctuating between 1.8 and 1.9, indicating that the market value is almost twice the realized value.
This suggests that the market is not in serious pain yet. However, the fact that MVRV is in a downtrend and the market price is moving sideways suggests that supply is slowly but steadily changing hands to new demands
The CryptoQuant analyst explained:
In the previous cycle, after the MVRV momentum experienced a death cross, the market entered a full-on bearish phase. Therefore, it is very important to watch whether the 30 DMA continues to fall. If the 30 DMA finds support at the 365 DMA and starts to rise again, this could indicate a potential increase in Bitcoin's price
In the previous cycle, after the MVRV momentum experienced a death cross, the market entered a full-on bearish phase. Therefore, it is critical to watch whether the 30-day moving average will continue to decline
If the 30 DMA finds support at the 365 DMA and starts to rise again, it could signal a potential increase in Bitcoin price, he emphasized
MVRV (Market Value to Realized Value) Ratio represents an important metric used to analyze the market value of Bitcoin and other crypto assets
