Bitcoin recent price action shows its tilting towards an overbought position.
GoldenNewsNg gathered that Bitcoin, the world’s most popular cryptocurrency has been on a massive rally in recent times that no financial asset has come close to.
However, its recent price action shows its tilting towards an overbought position.
What they are saying
Willy Woo, a former partner at Adaptive Capital, a respected Bitcoin analyst in the crypto-verse, gave key insights on what could make the Crypto bulls suffer from exhaustion, as it approaches the $17,000 mark.
“The spike in coin buying should not be underestimated, it’s the largest spike in the 5-year chart below. Overall BTC remains bullish, however, the price needs to settle.”
“That said, during this pump, the volume of coins scooped off exchanges by buyers was unprecedented. This price move was entirely organic, powered by significant buyer demand rather than the usual trader-driven action on derivative exchanges. I have not seen an organic pump at this scale in years.”
Meanwhile, BTC Supply in Loss (1d MA) just reached a 2-year low of 328,763.223. BTC previous 2-year low of 329,239.896 BTC was observed on November 6, 2020.
What to expect
Taking into consideration the increased buying pressure of the world’s most valuable crypto, (Bitcoin) Analysts views on Bitcoin remains bullish in the long term.
However, correction in price is expected if the overall view which is bullish is anything to go by. That said, the duration of this retrace could be short-lived as the number one crypto asset in market cap is very bullish.