Maybe Bitcoin (BTC) is already established or is “very close to it,” analysts say in light of new data released this week.
In a Twitter conversation on June 22, acclaimed indicator creator David Puell revealed what he thinks is “interesting” for current bitcoin buying and selling.
High probability of floor
While many sources predict that the BTC / USD pair will drop to $ 14,000 or less, bullish views on the current price action are rare.
For Puell, however, the dynamics between long – term (LTH) and short – term (STH) holders suggest that the situation is not necessarily so bearish and quite frightening.
Emphasizing the cost base of each group, Puell pointed out that those in the longer market as a whole paid less for their BTC than recent investors paid.
Bitcoin has currently reached its lowest level in the last few years, so it is the STHs that are most affected, more so than the LTHs. Therefore, the capitation sale of the first one could already be announced.
“It is my opinion that we are very likely to have a bottom or that we are very close to it,” the popular Root analyst replied.
Correction:
LTH realized price: $ 22.2k.
STH understood price: $ 31.7k.https: //t.co/1YEGkriVAJ– David Puell (@dpuellARK) June 22, 2022
Correction: Realized price at LTH: $ 22.2k. Price made by STH: $ 31.7k.https: //t.co/1YEGkriVAJ – David Puell (@dpuellARK) June 22, 2022
However, as Cointelegraph reported, even LTHs – defined as wallet entities that hold coins for 155 days or more – have yet to be distributed on the market in recent weeks.
Mayer Multiple historically low approach
Those looking for a lucrative opportunity to buy “the dive” on bitcoin may still be lucky, according to another popular metric on a chain, the Mayer Multiple.
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On June 22, the indicator, which shows how far the current spot price is below the 200-day moving average (DMA), suggests that ROI is rarely better. At 0.5, the multiplier is 50% below the 200-day moving average and was only less than 2% of bitcoin’s lifespan.
“Macroeconomic conditions are different this time, but it’s good to keep an eye on them,” he said said cryptocurrency entrepreneur Kyle Chasse on those numbers.
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