Cryptocurrency

Bitcoin

<p style="text-align: justify">You can also read this news on COINTURK NEWS: <a href="https://en.coin-turk.com/glassnode-predicts-potential-bitcoin-price-drop/" data-wpel-link="internal">Glassnode Predicts Potential Bitcoin Price Drop</a><br></p>
<p style="text-align: justify"><strong>Cryptocurrency</strong> analytics company Glassnode’s on-chain <a href="https://newslinker.co/category/ai/" target="_blank" rel="noopener" data-wpel-link="exclude">data</a> signals suggest <a href="https://en.coin-turk.com/monochrome-asset-management-files-bitcoin-etf-application-with-australian-securities-exchange/" data-wpel-link="internal">Bitcoin</a> (BTC) may be ready for a significant price drop. Leading this prediction is the long-term holders’ (LTH) market inflation rate. The LTH market inflation rate uses accumulation or distribution levels to determine Bitcoin’s next direction. However, as shown in the chart below, there are two lines in this graph.</p> 
<h2 id="expectations-of-btc-increase">Expectations of BTC Increase</h2> 
<p style="text-align: justify">In bull cycles, market inflation falling below nominal inflation indicates <a href="https://finance.coin-turk.com/" data-wpel-link="exclude">long-term investors</a> are accumulating. This situation could lead to a price increase for <strong>Bitcoin</strong>. On the other hand, market inflation rising above nominal interest could significantly increase selling pressure from investors. Therefore, <strong>BTC</strong> may be on the brink of a notable decline. At the time of writing, the metric formed the second model. Bitcoin was trading at $69,164 at the time of writing. This number represents a 2.98% increase over the last seven days.</p> 
<p style="text-align: justify">The mentioned metric is the abbreviation for long-term holder-net unrealized profit/loss. Thus, insights can be gained into the behavior of long-term holders. At the time of writing, LTH-NUPL was in the belief zone. This indicates that holders who have held the <strong>token</strong> for at least 155 days trust <strong>Bitcoin’s</strong> potential. However, the same individuals might contribute to BTC’s distribution, which may not be valid in the short term.</p> 
<p><img loading="lazy" loading="lazy" decoding="async" class="size-full wp-image-355971 aligncenter" src="https://coin-turk.com/wp-content/uploads/2024/05/glassnode.jpg" alt="" width="647" height="366"></p> 
<h2 id="critical-zone-for-bitcoin">Critical Zone for Bitcoin</h2> 
<p style="text-align: justify">The liquidation heatmap helps investors find the best liquidity positions. If liquidity concentrates in an area, prices may move in that direction. However, high liquidity areas can also be resistance or support zones. According to <strong>Hyblock’s</strong> data, a magnetic zone was identified at $72,350, indicating Bitcoin <a>price</a> could move towards this area. However, the same zone could act as resistance for <a>cryptocurrency</a>. If BTC rises to the mentioned price and gets rejected, it could spell disaster for the cryptocurrency. This is because the other high liquidity area is at $63,050.</p> 
<h5><span style="font-weight:bold;font-size:16px">The post first appeared on COINTURK NEWS: </span> <a href="https://en.coin-turk.com/glassnode-predicts-potential-bitcoin-price-drop/" data-wpel-link="internal">Glassnode Predicts Potential Bitcoin Price Drop</a></h5>

Glassnode Predicts Potential Bitcoin Price Drop

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