The analytics platform Lookonchain identified five indicators to determine if it was time to “escape from the Bitcoin top.”
As CryptoMode reported, the crypto market took another downturn as Bitcoin (BTC ) and many other altcoins suffered great losses. BTC plunged below $70K, hovering above $66.5K at press time.
The decrease in Bitcoin’s price comes after US spot Bitcoin ETFs reported over $226M daily net outflows, with Fidelity leading the pack. Moreover, another factor that put pressure on Bitcoin’s price is that miners have started to sell BTC, as CryptoMode reported recently.
Bitcoin Has Not Reached Its Peak
According to Lookonchain, another important event that affected BTC’s price was the number of Bitfinex whales that reduced their long positions, which could’ve resulted from massive liquidations in long positions in the market, which caused hundreds of millions of dollars in losses.
The analytics platform gauged Bitcoin’s Relative Strength Index (RSI) chart, stating that over 70 points would put BTC in the overbought spot. Bitcoin scored 69.93, suggesting the coin has not yet reached its peak but is getting closer.
Similarly, the 200-week Moving Average Heatmap shows BTC’s current price in blue, indicating there’s still time to hold and buy.
Moreover, Lookonchain stated that the Rainbow Chart, a long-term valuation tool for forecasting potential future prices, indicates that it’s still a good time to buy BTC.
