Bitcoin

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<ul>
 <li>Bitcoin’s RSI has stayed above 65 for the last few days.</li>
 <li>The king coin’s price remained above $41,000 despite a slight fall.</li>
</ul>
The surge in <a href="https://ambcrypto.com/search/bitcoin" target="_blank" rel="noopener noreferrer nofollow" data-wpel-link="internal">Bitcoin’s [BTC]</a> value has generated excitement, with certain investors experiencing substantial profits. Nevertheless, certain important indicators suggest caution, particularly in the short run.
<h4>Bitcoin stays in the oversold zone</h4>
In a recent update by <a href="https://twitter.com/santimentfeed/status/1731762754980356289?t=IL-ULck_JM1icOIk0VgQcA&amp;s=19" target="_blank" rel="noopener noreferrer nofollow" data-wpel-link="external">Santiment</a>, a crucial <a href="https://ambcrypto.com/over-80-of-bitcoin-wallets-are-now-at-a-profit-bull-trend-to-follow/" target="_blank" rel="noopener noreferrer nofollow" data-wpel-link="internal">Bitcoin</a> metric, the Relative Strength Index (RSI), saw a rise alongside its rising price. Examination of the daily RSI showed that it has consistently been over 65 since the start of December. 
This trend had been on even when Bitcoin was valued below $40,000. At the time of this writing, the RSI was around 77. This ongoing trend suggested that BTC was in an overbought condition at press time. 
Consequently, a price correction is possible if this situation persists for an extended period.
<div id="attachment_357968" style="width: 100%" class="wp-caption aligncenter"><img aria-describedby="caption-attachment-357968" decoding="async" class="size-full wp-image-357968" src="https://statics.ambcrypto.com/wp-content/uploads/2023/12/Bitcoin-BTC-09.29.26-05-Dec-2023.png" alt="Bitcoin 1 days RSI" width="2560" height="867" srcset="https://statics.ambcrypto.com/wp-content/uploads/2023/12/Bitcoin-BTC-09.29.26-05-Dec-2023.png 2560w, https://statics.ambcrypto.com/wp-content/uploads/2023/12/Bitcoin-BTC-09.29.26-05-Dec-2023-300x102.png 300w, https://statics.ambcrypto.com/wp-content/uploads/2023/12/Bitcoin-BTC-09.29.26-05-Dec-2023-1024x347.png 1024w, https://statics.ambcrypto.com/wp-content/uploads/2023/12/Bitcoin-BTC-09.29.26-05-Dec-2023-768x260.png 768w, https://statics.ambcrypto.com/wp-content/uploads/2023/12/Bitcoin-BTC-09.29.26-05-Dec-2023-1536x520.png 1536w, https://statics.ambcrypto.com/wp-content/uploads/2023/12/Bitcoin-BTC-09.29.26-05-Dec-2023-2048x693.png 2048w" sizes="(max-width: 2560px) 100vw, 2560px">
 Source: Santiment
</div>
<h4>180-day Bitcoin MVRV shows more signs of caution</h4>
The analysis of <a href="https://ambcrypto.com/will-bitcoin-hit-45k-its-up-to-the-short-term-holders/" target="_blank" rel="noopener noreferrer nofollow" data-wpel-link="internal">Bitcoin’s</a> 180-day Market Value to Realized Value ratio (MVRV) has highlighted two significant signals. 
First, it indicated that investors during this period have realized substantial profits, suggesting a potential forthcoming decline in price. As of the latest data, the 180-day MVRV was around 32%. 
This implied that individuals who purchased Bitcoin before the recent surge have witnessed a 32% increase in the value of their holdings.
<div id="attachment_357969" style="width: 100%" class="wp-caption aligncenter"><img aria-describedby="caption-attachment-357969" decoding="async" class="size-full wp-image-357969" src="https://statics.ambcrypto.com/wp-content/uploads/2023/12/Bitcoin-BTC-09.29.26-05-Dec-2023-1.png" alt="Bitcoin 180-day MVRV" width="2560" height="867" srcset="https://statics.ambcrypto.com/wp-content/uploads/2023/12/Bitcoin-BTC-09.29.26-05-Dec-2023-1.png 2560w, https://statics.ambcrypto.com/wp-content/uploads/2023/12/Bitcoin-BTC-09.29.26-05-Dec-2023-1-300x102.png 300w, https://statics.ambcrypto.com/wp-content/uploads/2023/12/Bitcoin-BTC-09.29.26-05-Dec-2023-1-1024x347.png 1024w, https://statics.ambcrypto.com/wp-content/uploads/2023/12/Bitcoin-BTC-09.29.26-05-Dec-2023-1-768x260.png 768w, https://statics.ambcrypto.com/wp-content/uploads/2023/12/Bitcoin-BTC-09.29.26-05-Dec-2023-1-1536x520.png 1536w, https://statics.ambcrypto.com/wp-content/uploads/2023/12/Bitcoin-BTC-09.29.26-05-Dec-2023-1-2048x693.png 2048w" sizes="(max-width: 2560px) 100vw, 2560px">
 Source: Santiment
</div>
Secondly, the elevated level of MVRV indicated that <a href="https://eng.ambcrypto.com/bitcoins-rally-causes-a-split-in-trader-behavior/" target="_blank" rel="noopener noreferrer nofollow" data-wpel-link="internal">BTC</a> might experience a dip below its price time price range. However, considering the prevailing trend, this decline is likely to be temporary. 
A more noteworthy price movement could follow shortly after the dip, marking the beginning of a full-fledged bull run.
<h4>BTC sees a slight decline</h4>
According to AMBCrypto’s analysis of the daily timeframe chart, <a href="https://eng.ambcrypto.com/will-bitcoins-move-above-41k-spark-an-altcoin-rally/" target="_blank" rel="noopener noreferrer nofollow" data-wpel-link="internal">Bitcoin</a> concluded trading on the 4th of December with a notable 5% surge in value. This marked the pinnacle of a four-day upward trend that propelled its price above $40,000.
 However, as of this writing, Bitcoin experienced a marginal 1% decrease in value. Despite this slight decline, the price has managed to stay above the $41,000 range.
<div id="attachment_357970" style="width: 100%" class="wp-caption aligncenter"><img aria-describedby="caption-attachment-357970" decoding="async" class="size-full wp-image-357970" src="https://statics.ambcrypto.com/wp-content/uploads/2023/12/BTCUSD_2023-12-05_09-08-51.png" alt="BTC/USD daily price trend" width="1793" height="752" srcset="https://statics.ambcrypto.com/wp-content/uploads/2023/12/BTCUSD_2023-12-05_09-08-51.png 1793w, https://statics.ambcrypto.com/wp-content/uploads/2023/12/BTCUSD_2023-12-05_09-08-51-300x126.png 300w, https://statics.ambcrypto.com/wp-content/uploads/2023/12/BTCUSD_2023-12-05_09-08-51-1024x429.png 1024w, https://statics.ambcrypto.com/wp-content/uploads/2023/12/BTCUSD_2023-12-05_09-08-51-768x322.png 768w, https://statics.ambcrypto.com/wp-content/uploads/2023/12/BTCUSD_2023-12-05_09-08-51-1536x644.png 1536w" sizes="(max-width: 1793px) 100vw, 1793px">
 Source: TradingView
</div>
Read <a href="https://ambcrypto.com/predictions/bitcoin-price-prediction" target="_blank" rel="noopener noreferrer nofollow" data-wpel-link="internal">Bitcoin’s [BTC] Price Prediction</a> 2023-24
A more significant price movement for Bitcoin is anticipated if the Relative Strength Index (RSI) remains consistently below 65. It remains uncertain whether the current decline in price indicates a diminishing level of excitement. 
However, if the downward trend persists, it could serve as a signal for an impending price upswing.

Expecting Bitcoin’s price to stay above $40K? This indicator gives its prediction

AMBCrypto

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