Sign Up on MEXC
Highlights
- Bitcoin miners moved 1,000 Bitcoins to Coinbase selling at every rise to $69,000.
- Bitcoin MVRV indicator flashes major correction ahead for BTC price.
- Bitcoin Open Interest tanks flushing out overly speculative trading activity.
Soon after the Bitcoin (BTC) price surged past $69,000 on Tuesday, it faced substantial selling pressure, resulting in a 7% decline from its peak to $63,500. Consequently, a correction has unfolded across the wider cryptocurrency market, resulting in a collective loss of over $150 billion within the past 24 hours
Bitcoin (BTC) Price Eyeing 25% Correction?
Citing data from Santiment, renowned crypto analyst Ali Martinez issues a cautionary note regarding Bitcoin’s MVRV (Market Value to Realized Value) indicator, currently standing at 19.57%. Martinez highlights a concerning historical pattern, stating that each time the MVRV indicator surpassed the 18% threshold since February 2021, Bitcoin’s price plummeted by as much as 24% to 55%.
Given this trend, traders are urged to closely monitor the MVRV indicator as it suggests a looming possibility of a significant Bitcoin price correction. The analyst’s warning underscores the importance of vigilance and risk management strategies in navigating the volatile cryptocurrency market.
According to findings from CryptoQuant, on-chain data revealed a significant movement of 1,000 bitcoins, valued at approximately $69 million, to Coinbase. These Bitcoins’ movements happened from addresses associated with miners and date back over a decade. This movement occurred just prior to Bitcoin reaching new highs of around $69,000, followed by a subsequent decline to $62,000 on Tuesday
Bitcoin critic Peter Schiff took a jibe at investors stating: “Earlier today Bitcoin hit a new record high of over $69,200. About four hours later the price collapsed down to $59,300. That’s almost $10K per Bitcoin, for an intraday drop of a staggering 14.5%. Nothing that volatile can be described as being a safe haven or a store of value!”
BTC Buy The Dip Calls on the Rise
On-chain data provider Santiment reported that the fleeting celebration of Bitcoin’s all-time high was swiftly overshadowed by apprehensions as the price plummeted by 7%. Calls to buy the dip surged to their highest level in months. Historically, once the initial urgency subsides, this presents the real opportunity to capitalize on buying.
According to Santiment, total open interest on exchanges for Bitcoin has notably decreased following today’s all-time high for BTC. The decline in exchange open interest for Bitcoin signifies a reduction in overly speculative trading activity. This drop in open interest can be interpreted as a temporary removal of speculative excess from the markets.
Assuming funding rates stabilize, prices may experience fluctuations that are less influenced by futures and options positions, and more reflective of genuine supply and demand dynamics from traders, investors, and hodlers.
- Senate Banking Committee Releases Updated Draft Crypto Market Structure Bill
- Michael Saylor’s Strategy Fails To Make S&P 500 Listing, MSTR Stock Drops
- Solana Treasury Company SOL Strategies Gets Approval To List On Nasdaq
- Fidelity, Grayscale, VanEck Dump Ethereum Amid ETH Price Crash
- Ethereum Treasury Firm SharpLink Confirms Compliance Amid Nasdaq Oversight
- Chainlink Price Eyes $55 as Reserve Holdings Jump With 43,937 LINK Addition
- Cardano Price Targets 30% Surge as Top Economist Calls for Fed Cut
- ETH Price Forecast as Grayscale’s Covered Call Ethereum ETF Spurs Optimism — Is $8,500 in Sight?
- Bitcoin Price Prediction as SEC Unveils Agenda for Crypto Regulation — Is $200K Next?
- ONDO Price Prediction Amid Bitget Collaboration on Tokenized Stocks and ETFs: Is $2 Next?
