On-chain indicators point to improving market sentiment and the potential for further gains in Bitcoin’s price, according to ForkLog’s analytical report.
In particular, this is indicated by the recently emerged from the ‘green zone’ oversold indicator MVRV Z-Score.
The aSOPR indicator spent most of February above the 1 level. This indicates improving market sentiment and profit-taking by many investors.
For relatively small addresses (>0.1 BTC, >0.1 BTC and >1 BTC) the situation is more optimistic — in these categories a decline has almost never been observed. This points to a gradual increase in the number of crypto investors and their desire to accumulate as much digital gold as possible, regardless of volatility and shifts in market cycles.
Earlier, Glassnode analysts concluded that Bitcoin had recovered from the fallout of the FTX collapse.
As noted, Adam Farting of B2C2 said that for Bitcoin to continue its rally it must surpass the $25,000 mark.