Expert points to prospects for Bitcoin rally resuming

A decline in the price of the first cryptocurrency to a ten-week low has not altered the technical picture, which points to an uptrend. This was stated by LookIntoBitcoin founder Philip Swift.

1/ A lot of panic in the market today.

Zooming out, #bitcoin is actually performing well and as expected for this stage of cycle.

A clear $BTC breakout above Realized Price. pic.twitter.com/q4vTzJZBtg

— Philip Swift (@PositiveCrypto) May 25, 2023

The expert noted a breakout above the realized price as quotes moved from below.

According to his calculations, in the 140 days that followed such a signal, the uptrend persisted. The crossover of the indicators occurred in mid-January 2023.

“Today there is a lot of panic in the market. In fact, at this stage of the cycle Bitcoin is behaving as expected,” Swift noted.

Analyst Checkmate from Glassnode pointed to ‘exhaustion’ among sellers.

#Bitcoin Sell-side Risk ratio is approaching all-time lows.

This indicates that investors are reluctant to spend coins which are in profit, or loss within the current price range.

This usually occurs when sellers are exhausted on both sides, suggesting big moves are coming pic.twitter.com/wYNYiZ8uu3

— _Checkɱate ?⚡?☢️?️ (@_Checkmatey_) May 24, 2023

The specialist cited the Sell-side Risk Ratio metric, which has fallen to near-record levels. The current ratio indicates a low willingness by investors to spend coins that are in profit or loss within the current price range, he noted.

“Big moves are coming,” Checkmate warned.

Earlier, Michael Kramer, founder of asset-management firm Mott Capital Management, warned of the risk of Bitcoin collapsing to $20 000.

Earlier CNBC experts showed bullish sentiment about digital gold. In their forecasts, the asset could test the previous high this year and even reach $100 000.

Analysts at Standard Chartered pushed back the milestone of Bitcoin reaching $100 000 to the end of 2024.