Bitcoin keeps its distorted bias but lack of momentum
8:30
4
min at reading ▪
After he has exceeded the unprecedented summit for $ 123,000, Bitcoin begins with a clear slowdown. The euphoria of the last few weeks has receded the consolidation phase where each market movement is controlled. The latest institutional knowledge of the cryptocurrency reveals tangible signs of spirit: a decrease in momentum, liquidity in half mast and permanent profits. This cocktail places the flagship at a key moment, between a technical break and the risk of correction.
In short
- Bitcoin fell back after reaching a historic record of $ 123,000, which meant entering the consolidation phase.
- The bull score index drops from 80 to 60, which is a sign of reduced momentum while staying in the bull zone.
- Liquidity growth in stablecoins slows down strongly, while network activity and flows for large exchanges are retreating.
- Valorization indicators are closer to critical slings, which increases the risk of tilting to the lower cycle.
Cooling of Haussier’s momentum
The capitals are increasingly fleeing bitcoins for Ethereum. “After reaching an absolute record of $ 123,000, Bitcoin entered the ascending lobby phase”notes the cryptocurrency in its last report.
One of the best known signals is the fall of the Bull score index, from 80 to 60, an illustrating the loss of market speed while staying in the bull. The company also observes a clear slowdown of liquidity growth in stablecoins, a key indicator of the arrival of fresh capital, now on its instrument panel displayed in red.
Among the elements that translate this slowdown, we will notice:
- Decrease in liquidity growth similar to stable;
- Network activity downloaded: a reduction in the volume of bitcoin transactions;
- A decrease in flows to large exchanges: especially Coinbase, a sign of a short -term spirit;
- Massive profits: The tender indicator for the profitable range of traders has passed in the red zone, reflecting the locking of profits and a decrease in latent profits;
- Incomplete seasonal context: summer period, historically marked by weaker volumes, emphasizes this slowdown.
This set of factors forms the market for loss of momentum, but without immediate interrogation of its ascending structure.
Indicators near the point of the swing
In addition to this cooling, it draws attention to the cryptocurrency indicators that are dangerously closer to the suspension level.
“The Bar-Bear Cycle, P&L and MVRV Index Z-Skóe are now close to the thresholds where the new correction could get to switch to the bottom zone”Notice the messages.
Such development could lead to a bull score under 40 years, a level that has not been observed since April 2023. This potential fragility is added to the context of liquid with liquidity with the expansion of TETH (USDT) limited to $ 9.6 billion in the last 60 days.
The analysis emphasizes that this configuration exposes the market for bitcoins to any new sales pressure, especially in the absence of immediate bull catalysts. Summer, often synonymous with a decrease in the activities of institutional investors, contributes to this wait -a -see climate. Cryptoier, however, is careful not to switch to pessimism, and recalls that the overall structure of the cycle remains up.
The table -drawn cryptocurrency table evokes less brutal conversion than the temporary phase. Investors have to deal with the market that oscillates between consolidation and the threat of correction and awaits the trigger capable of reviving ascending dynamics. The development of capital flows and the appearance of new macroeconomic trends could determine whether this cooling is only a technical break … or the signal of a deeper conversion.
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A graduate of the Toulouse and the Blockchain Consultant Certification certification holder and I joined the adventure of Cointribuna in 2019. I convinced of the potential of blockchain to transform many economy sectors, committing to raising awareness and informing the general public about how the ecosysty developed. My goal is to allow everyone to better understand blockchain and take the opportunity they offer. I try to provide an objective analysis of messages every day, decrypt trends on the market, hand over the latest technological innovations and introduce the economic and social issues of this revolution.
Renunciation
The words and opinions expressed in this article are involved only by their author and should not be considered investment counseling. Do your own research before any investment decision.