Bitcoin

Bitcoin (<a href="https://cointelegraph.com/bitcoin-price">BTC</a>) has delivered a “healthy reset” to bullish sentiment thanks to a key BTC price indicator hitting eight-month lows.
In a <a href="https://x.com/OnChainCollege/status/1806104183936098802" target="_blank" rel="noopener nofollow">post on X</a> (formerly Twitter) on June 27, popular analyst On-Chain College said that classic patterns were repeating on the Bitcoin Mayer Multiple.
<h2 data-ct-non-breakable="true" id="mayer-multiple-reaches-lowest-since-october-2023">Mayer Multiple reaches lowest since October 2023&nbsp;</h2>
Bitcoin is still at $60,000, but a strikingly bearish mood has accompanied its latest 17% dip.
As <a href="https://cointelegraph.com/news/can-60k-btc-price-support-hold-5-things-bitcoin-this-week">Cointelegraph reported</a>, the Crypto Fear &amp; Greed Index is challenging 2024 lows, and across social media, there are few signs that the average hodler expects a price turnaround.
The Mayer Multiple, however, is arguably suggesting that a recovery could soon take shape.
The indicator measures Bitcoin’s current price against its 200-day moving average, and the resulting ratio is used as a buy or sell signal. Its creator, Trace Mayer, originally gave a reading of below 2.4 as “buy” territory.
<figure data-ct-non-breakable="true">
 <img src="https://s3.cointelegraph.com/uploads/2024-06/8f8b0fe6-cc2a-49c2-846b-84f4136d1c48.png" alt="" title="">
 <figcaption style="text-align: center;">
 Bitcoin Mayer Multiple. Source: Glassnode
 </figcaption>
</figure>
Data from on-chain analytics firm <a href="https://studio.glassnode.com/workbench/btc-mayer-multiple?zoom=all" target="_blank" rel="noopener nofollow">Glassnode</a> shows that as of June 26, the Mayer Multiple measured 1.05. 
Conversely, for the Mayer Multiple to hit the 2.4 level, the price would need to be nearly $140,000. BTC/USD last achieved a 2.4 reading in March 2021.
“The Bitcoin Mayer Multiple is now at a level not seen since October 2023, despite price at $60.9K now vs. $29.9K back in October,” On-Chain College wrote in part of accompanying commentary. 
<blockquote data-ct-non-breakable="true">
 “A healthy reset of sentiment to shift back bearish while being at twice the price.”
</blockquote>
<figure data-ct-non-breakable="true">
 <img src="https://s3.cointelegraph.com/uploads/2024-06/e7c7852a-100f-4142-8152-1a3227724ae3.png" alt="" title="">
 <figcaption style="text-align: center;">
 Bitcoin Mayer Multiple. Source: On-Chain College
 </figcaption>
</figure>
Extreme lows in the Mayer Multiple do not always correspond to BTC price floors. In mid-2022, the indicator <a href="https://cointelegraph.com/news/bitcoin-hodler-data-hints-btc-price-really-close-to-bottom-analysts">bottomed at around 0.47</a>, but it was another four months before the&nbsp;<a href="https://cointelegraph.com/news/bitcoin-2022-bear-market-usual-despite-key-trend-line-loss-analyst">price did likewise</a> to mark the pit of the bear market.
<h2 data-ct-non-breakable="true" id="trader-on-overbought-bitcoin-history-repeating">Trader on overbought Bitcoin: “History repeating?”</h2>
As Cointelegraph continues to report, price strength is a popular topic of debate in June as the Mayer Multiple is not the only “buy” signal currently valid.
Related: <a href="https://cointelegraph.com/news/bitcoin-price-wobbles-at-61k-as-us-gov-sends-4k-btc-to-coinbase">Bitcoin price wobbles at $61K as US gov sends 4K BTC to Coinbase</a>
Bitcoin’s relative strength index (RSI) has also dipped into “oversold” territory <a href="https://cointelegraph.com/news/bitcoin-price-june-above-56-5-k-uptrend-analysis">across multiple timeframes</a>.
On the daily chart, RSI was previously at this week’s levels <a href="https://cointelegraph.com/news/btc-price-29k-bitcoin-rsi-analysis-trader">in August 2023</a> — a time at which other bull market support trendlines, such as the <a href="https://cointelegraph.com/news/bitcoin-speculators-underwater-btc-research">short-term holder cost basis</a>, were being violated in a <a href="https://cointelegraph.com/news/watch-btc-price-support-levels-bitcoin-tumbles-64k">similar way to now</a>.
“The last time the RSI was this low, Bitcoin had just consolidated for 3+ months, just below the key resistance @ 30k,” popular trader Jelle wrote in part of his latest X <a href="https://x.com/CryptoJelleNL/status/1806221909052256551" target="_blank" rel="noopener nofollow">post</a> on the topic. 
<blockquote data-ct-non-breakable="true">
 “We’re looking at 3+ months of consolidation below 70k now. History repeating?”
</blockquote>
<figure data-ct-non-breakable="true">
 <img src="https://s3.cointelegraph.com/uploads/2024-06/09f3f586-8e88-4ee1-98cf-7fa699f5938a.png" alt="" title="">
 <figcaption style="text-align: center;">
 BTC/USD 1-day chart with RSI data. Source: TradingView
 </figcaption>
</figure>
BTC/USD traded at around $60,700 at the time of writing, per data from <a href="https://subscription.cointelegraph.com/?_gl=1*7499wx*_ga*MTQ0MzQ0NzI4Ny4xNzE2MzY1NTA0*_ga_53R24TEEB1*MTcxNjM2NTUwNC4xLjEuMTcxNjM2Njg2MC4wLjAuMA..">Cointelegraph Markets Pro</a> and <a href="https://www.tradingview.com/symbols/BTCUSD/?exchange=BINANCE" target="_blank" rel="noopener nofollow">TradingView</a>.
This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.

Bitcoin Mayer Multiple hits lows that last accompanied $30K BTC price

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