Journalist
Posted:
- Bitcoin selling and buying pressure remained relatively low at the time of writing.
- The price of BTC fell 4% in the last seven days and the indicators looked bearish.
Bitcoin [BTC] has not shown any notable performance in the past week as the weekly chart has been in the red. According to CoinMarketCapBTC has fallen almost 4% over the past seven days.
At the time of writing, BTC was trading at $41,909.77 with a market cap of over $820 billion.
Investors don’t sell Bitcoin
However, despite the bearish price action, investors seemed confident in the coin, as evidenced by their reluctance to sell. Similarly, Willy Woo, a popular crypto analyst, recently posted a tweet highlighting an important metric.
#Bitcoin investors are waiting for higher prices and are currently unwilling to sell.
SOPR tracks the profits of coins when they are sold to new investors. It rose while the price fell. For this to happen, only investors sell with a significant profit, more recent investors wait. pic.twitter.com/Z18W3V36sV
— Willy Woo (@woonomic) December 16, 2023
He used BTC’s SORP, which tracks the profit of coins when they are sold to new investors. According to his analysis, BTCs investors seemed to be waiting for higher prices, as evidenced by their reluctance to sell.
To check whether investors are holding on to their stocks, AMBCrypto examined other metrics.
According to our analysis, Bitcoin’s supply on exchanges and supply off exchanges were closely linked, meaning there wasn’t much selling or buying pressure at the time of the report.
Bitcoin’s rate also dropped, meaning fewer coins were transferred within a fixed time frame.
Source: Santiment
Our check on CryptoQuant’s facts also revealed that BTC’s binary CDD was green, meaning that long-term holders’ movement over the past seven days was lower than average, showing their willingness to hold.
BTC’s daily transactions have also been low over the past 24 hours.
Source: CryptoQuant
Will Investor Confidence Reflect in BTC’s Chart Soon?
AMBCrypto’s look at BTC liquidation levels revealed that the coin has not seen a massive sell-off below its current value in the recent past. The possibility of a trend reversal cannot therefore yet be ruled out.
If it manages to gain bullish momentum, Bitcoin will face strong resistance around $43,600.
Source: Hyblock Capital
Another positive metric was Bitcoin’s Fear and Greed Index. According to Glassnode’s graph: BTC‘s Fear and Green Index fell and had a value of 67 at the time of writing.
Read Bitcoins [BTC] Price prediction 2023-24
When the measure falls, it indicates that it is entering a ‘fear phase’, which usually signals a trend reversal.
Source: Glassnode
However, the MACD showed a clear bearish crossover on Bitcoin’s daily chart. The Money Flow Index (MFI) also registered a downward trend, which could result in a further decline in the price of the king of cryptos.
Source: TradingView
