Claim $500Bitcoin Price Bearish? On-Chain Data Indicates It’s Time To Sell
Bitcoin price briefly fell below $26096, the key 200-WMA level, at 7 PM UTC on Friday. The BTC price quickly rebounded and hit a 24-hour high of $26,989.
However, on-chain data indicates a bearish outlook on BTC price and it’s probably time to book some profits.
Bitcoin Price Reaches Late 2021 Level
On-chain metric Puell Multiple reached over the late 2021 level when Bitcoin started falling from an all-time high.
According to CryptoQuant, Puell Multiple is the “ratio of the daily value of the issued coin in USD divided by 365 days moving average of the daily value of issued coins in USD.” It gives clear buy and sell signals after logarithmized. Typically, values above 6 indicate a possible top and values below 0.4 indicate a possible bottom.
Analyst suggests that with every Bitcoin halving, the top for Puell Multiple is lower. It was 9 in 2013, 7 in 2017, and 3.5 in 2021. Thus, Puell Multiple hitting almost 2.0 on May 8 could be another confirmation that BTC price has likely reached near peak and may fall ahead. Currently, the Puell Multiple value is at 1.30.
Also Read: Binance Could Be In Trouble Amid Recent Actions —Bloomberg
BTC Price Turning Weaker
BTC prices started falling due to several factors such as macro, wrong report on BTC selloff by the U.S. government, and high Bitcoin transaction fees. If Bitcoin fell below the 200-WMA level again, the price will fall.
CoinGape Media earlier reported that Bitcoin price could fall to $24,800. Thus, the price needs to close above the key 200-WMA level this week to remain bullish.
BTC price jumped 2% in the last 24 hours, with the price currently trading at $26,822. The 24-hour low and high are $25,878 and $26,989, respectively. Furthermore, the trading volume has increased slightly in the last 24 hours.
Also Read: Ethereum Clients Release Crucial Updates As Blockchain Suffers Two Outages in 24hrs
Why Trust CoinGape
CoinGape has covered the cryptocurrency industry since 2017, aiming to provide informative insights Read more… to our readers. Our journal analysts bring years of experience in market analysis and blockchain technology to ensure factual accuracy and balanced reporting. By following our Editorial Policy, our writers verify every source, fact-check each story, rely on reputable sources, and attribute quotes and media correctly. We also follow a rigorous Review Methodology when evaluating exchanges and tools. From emerging blockchain projects and coin launches to industry events and technical developments, we cover all facets of the digital asset space with unwavering commitment to timely, relevant information.
Premium Partners
Delivered every day.
- Insights that move markets
- 100,000 active subscribers
Related Articles
- Breaking: Bank of Russia Proposes Allowing Investors to Buy Bitcoin and Crypto in Major Regulatory Shift
- Crypto ETF Issuer 21Shares Advances Dogecoin ETF Bid with Amended S-1 Filing
- Bitcoin Crash Risk Mounts As Peter Brandt Points to 80% Declines in Every Major Cycle
- Bitcoin Whale Doubles Down on BTC, ETH, SOL Short Positions, $243M at Stake
- IMF and El Salvador in Bitcoin Talks: Progress Made, Compliance Deadline Set
- Is It Time to Sell Bitcoin for Gold- Analyst Spots 2023 Pattern That Triggered BTC’s Last Major Rally
- Will Bitcoin Price Hit $100k Before Year-End? Prediction and Analysis
- Bitcoin Price Prediction As Michael Saylor Pauses BTC Purchase- Is A Fall to $74k Imminent?
- Aster launched Phase 5 Buyback Program Allocating 80% Fees. Will ASTER Price Rally?
- XRP Price Prediction: Rare Bullish Patterns Align With Powerful Catalysts
- Weekly Crypto Price Prediction: Bitcoin, Ethereum, and XRP as Market Momentum Builds
