Analysts say that Bitcoin’s bottom is near and it is currently in an “accumulation zone”.


The author The author Editorial by Crypto247

Analysts say that Bitcoin's bottom is near and it is currently in an
Bitcoin’s bottom is near and it’s currently in an ‘accumulation zone’, analysts say

Experts say that BTC is currently undervalued, which indicates that prices will rise in the near future.

A couple of weeks ago, Bitcoin along with other cryptocurrencies experienced a brief rally following the release of US Consumer Price Index data.

August started full of optimism bitcoins (BTC). The leading cryptocurrency recorded a small daily gain at the beginning of the month before experiencing a big rally in the second week, taking the price above $25,000. Nevertheless, it failed to stay above this level and after a few days it was severely corrected. According to experts, mainly due to a lack of interest from new users.

However, the price action of the last few days seems to be showing the end of the rally. But regardless, some analysts believe there are several metrics that support the argument that Bitcoin’s price bottom is near.

Experts say that BTC is currently undervalued, which indicates that prices will rise in the near future.

Why Is Bitcoin Bottoming Near?

As the macroeconomic scenario continues to be unfavorable for Bitcoin, the main cryptocurrency asset is trading at undervalued levels. Meanwhile, about five technical indicators point to the proposition that bitcoin price have not yet exhausted their potential.

The total supply of BTC has fallen sharply in profit last week, which currently accounts for 56% of the total supply. This is important for tracking the ratio of traders with unrealized profits and losses.

After a stable week, the price of Bitcoin has fallen 3% in the last hours and is approaching 20 thousand. USD limits.

On the other hand, many BTC holders continue to experience lossesas can be seen from the analysis Profit of lost unrealized grandchildren (NUPL).

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NUPL is the difference between unrealized profit and unrealized loss to determine whether the network is currently in a profit or loss state.

Loss of investors and accumulation period

Additionally, long-term Bitcoin holders are currently exiting their coins at a 44% loss. This is shown by Puell’s Multiple, which measures the growth of miners’ earnings over one year Bitcoin is currently in an accumulation zone.

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The concepts presented in this note are for informational purposes only and do not constitute an investment recommendation. Cripto247.com is not responsible for the results of investments made. Cripto247 recommends being well informed before investing.

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Read on:

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