Bitcoin owners can accumulate more, which indicates that the price is rising.
One of the most important indicators is that #CryptoWatchMay2024 may fall again before reaching another all-time high.
Investing in cryptocurrencies involves risk. However, #bitcoin [BTC], the largest cryptocurrency by market capitalization, has shown that choosing this coin can bring returns that few can dream of.
However, don't take AMBCrypto's word for it.
On the contrary, BTC's record performance shows that it is no fluke: according to CoinMarketCap, bitcoin's price has risen by a mind-boggling 103,942,579% since its inception.
However, investors can rest assured that there's more than glitz and glamor on bitcoin's side.
For example, the market crash in 2022 proved that "growth only" is just a myth, as any bitcoin investment can fall quickly if the market goes into a bearish phase.
In 2021, bitcoin reached an all-time high (ATH) of $69,000. However, a year earlier, the coin fell below $16,000 due to certain events, confirming that the volatility of the asset can have an unwanted impact on investors.
In 2024, the coin reached an all-time high, reaching $73,750 on March 14. Despite this rise, the coin's exchange rate has changed. As of this writing, it is trading at $BTC Over the past 30 days, its value has fallen by 5.58%. But are bitcoins a good investment for you? Certain factors affect the price of coins.
For example, the approval of a spot bitcoin fund #ETF earlier this year influenced the price to rise to all-time highs. However, despite an incredible influx of funds in the first quarter, it had no impact.
Therefore, investors have to rely on fundamentals and key indicators. For starters, AMBCrypto examined bitcoin's return potential using blockchain-related metrics.
One such indicator was the market value to realized value (MVRV) ratio; the MVRV ratio indicates the yield of BTC holders.
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