Bitcoin market sentiment is cooling: is the BTC price now turning?

Bitcoin has been on the decline since mid-March. This was urgently needed, after all, the Bitcoin market was significantly overheated. But even after the halving, the No. 1 cryptocurrency doesn’t really want to get going. At the time of writing, BTC is trading at $63,782 – 13 percent below its all-time high of $73,737.

But the crypto market seems to be slowly cooling down and market sentiment is changing. With 71 out of 100 possible points, the RSI is slowly pointing towards a correction. This creates space for possible uptrends.

The Bitcoin RSI: Source: BiTBO

The Bitcoin Fear & Greed Index is also slowly moving into more moderately valued territory. With a value of 70, Bitcoin is still in greed territory.

Bitcoin: Mayer Multiple with bullish wind

The Mayer Multiple, another sentiment index, is also falling at 1.3. For comparison: just three months ago the Mayer multiple was 1.8 points. The Mayer Multiple is the multiple of the current Bitcoin price above the 200-day moving average. The higher the value, the higher BTC is valued. From a value of 2.4 things become really dangerous, and then a longer bear market usually follows.

The indicators presented here are so-called sentiment indices. They reflect optimism and pessimism on the market in numbers. What they could not do is send clear buy or sell signals. This requires a more precise cycle analysis.

In addition to the price, the halving also has a major impact on many other areas in the BTC ecosystem. These include mining, transaction fees and the Runes protocol. You can read about the effects that can now be expected in the new Bitcoin Report.

Disclaimer: All content presented in the article is for informational purposes only and does not constitute investment advice.

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