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Bitcoin Price Nears Historical Low, Potential Rebound Predicted
The Bitcoin market has recently experienced a downturn, revisiting the $100,000 support level. However, on-chain analysis suggests potential positive movement ahead.
Bitcoin Price Below Average Cost
- Market analyst Burak Kesmeci highlighted the Bitcoin: 90-Day Market Price vs Realized Price Gradient Oscillator as key to predicting bullish reversal.
- This metric evaluates Bitcoin's market price deviation from its realized price over 90 days.
- A positive reading indicates rising market price above average cost, suggesting bullish momentum.
- A negative reading shows decline below realized price, indicating bearish momentum and possible 'cooling' phase.
- Kesmeci noted the metric is at -1.27 STDV, showing Bitcoin price significantly below historical cost basis, pointing to an 'extreme cooldown.'
- Currently, investors are paying less than recent buyers for Bitcoin. Increased purchases at current prices could absorb existing bearish pressure.
- Historically, a metric below -1 STDV often precedes downtrend endings and beginning of upward expansions.
- Previous instances: April saw Bitcoin rise from $82,000 to $100,000; July witnessed growth from $108,000 to $124,000.
Bitcoin Price Overview
Bitcoin is currently valued at approximately $102,023, marking a slight decrease of about 0.94% from the previous day.
