The past week brought a complete collapse in cryptocurrencies, peaking on Monday. On Monday, Bitcoin price dropped to $48,800, pushing ETH below $2,100 and Solana below $110. Later, the market regained strength as it was revealed that major US companies did not sell any BTC. Despite this, a famous analyst made bearish statements about BTC, causing fear.
Bitcoin Comments
One of the closely followed analysts of cryptocurrencies stated that an important indicator showed a bottom signal for Bitcoin (BTC) similar to November 2022. In his new statements, crypto analyst Ali Martinez shared his views on X. He noted that Bitcoin’s Market Value to Realized Value (MVRV) indicator had dropped to its lowest level since the collapse of the FTX crypto exchange.
To briefly explain what MVRV is, it can be defined as the ratio of the market value of the examined asset to its realized value or the value at which all coins were purchased. When the MVRV value falls below zero, it can be understood that the asset is oversold, considering that investors who bought within a certain period incurred losses.
Bitcoin MVRV ratio (30-day) hasn’t been this low since November 2022, right after the FTX collapse. At that time, it indicated a bottom and was a perfect buying opportunity.
The analyst also noted that based on the MVRV ratio, Bitcoin needs to maintain a support level of $54,000 to potentially rise to $67,000.
Based on Bitcoin MVRV pricing bands, BTC needs to reclaim $54,000 as support to prevent a drop to $40,000. If the $54,000 support holds, the key upward resistance for BTC will be $67,000!
Bitcoin Price in TL
After a more than 3% increase in the last 24 hours, Bitcoin is trading at $56,600 at the time of writing. BTC’s market cap rose to $1.120 trillion, while trading volume fell to $42 billion after a 31% drop.
The recent decline suggested that investors who sold in recent days might have exhausted. On the other hand, looking at the BTC/TRY pair, the price was reflected as 1,900,000 TL in the charts.
