Bitcoin noted a downturn performance last week, painting red in its weekly chart. Meantime, these depreciations triggered multiple speculations within the marketplace, as individuals want to know possible upcoming market moves. As always, the trading community has diverse opinions.
While some trust trend reversals could appear within the upcoming days, multiple reports indicate otherwise. While publishing this content, Bitcoin hovered beneath its crucial $20,000 mark, dropping more than 7% within the last seven days. Its market cap wavered near the $380 Billion level,
Bears in the Game
CryptoQuant’s analyst Dan Lim revealed that Bitcoin has massive potential to keep sliding for various global reasons. Meanwhile, he highlighted some bearish market situations that could contribute to such developments.
Lim pointed out that most individuals continue scooping whenever bearish markets emerge without knowing they’re interacting with a bear market. However, extended bearishness exhausts individuals as they stop buying.
The forecast appears true, with various metrics supporting the potential of extended downside in BTC’s price. For example, supply in profit touched the month’s lowest mark on August 28 after maintaining Southside since mid-August.
Also, the MVRV ratio slumped, confirming bearish markets. That could mean lucrative buying opportunities for investors. Bitcoin exchange withdrawals decreased considerably within the past few sessions, indicating similar pessimistic trends.
Another CryptoQuant writer Easy OnChain highlighted that these indications show current prices aren’t attractive for long-term buying. That could signal more Bitcoin price plunges during the upcoming weeks. However, long-term goals have proven lucrative in the crypto space.
Assessing Bitcoin’s 4hr chart revealed bearish dominance in the market, with most candlesticks painting red. The BBs indicated that the bellwether crypto hovered at the high volatility territory. That could soon trigger a price crunch, minimizing the probability of near-term upticks.
The broad market remains deteriorated amid bearish conditions in the overall financial space. The global cryptocurrency market cap reflects the present downturn in the industry.
While publishing this news, the metric stayed at $951.77 billion, losing 1.68% within the last 24 hours. Bears appear relentless and more slides could emerge before digital coins contemplate their next moves.
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