Three Reasons Why Bitcoin’s (BTC) Bull Run Hasn’t Rated Yet
TL;DR
- Bitcoin surpasses $71,000 with a market cap of over $1.4 trillion; This suggests further growth potential due to low trader enthusiasm (FOMO) and the stable RSI at 60.
- Negative BTC exchange net flow indicates that selling pressure is easing as investors turn to self-storage, indicating bullish market sentiment.
Bitcoin (BTC) has been thriving lately, with its price exceeding $71,000 and its market cap exceeding $1.4 trillion (according to CoinGecko data). Asset increased by 14% on a monthly scale and 165% annually, but some key indicators suggest further upside may be possible.
BTC Price, Source: CoinGecko
One such element is its lack. Fear of Missing Out (FOMO). Traders are not so cheerful, according to market intelligence platform Santiment right now As in previous summits.
FOMO is a psychological phenomenon characterized by anxiety that others are having satisfying or rewarding experiences without you. It often manifests as a compulsive desire to stay in touch with what the masses are doing.
Inside crypto contextFOMO refers to the fear of missing out on potential investment gains in a particular outperforming digital asset. quite a few Alright.
However, this phenomenon can cause people to enter the market emotionally rather than rationally. investors can ignore required due diligence and investment strategies lead to impulsive purchases at high prices. ThisIn the event of a severe market correction, it can lead to significant losses.
In most cases, FOMO occurred during market peaks and followed with significant price drops. The lack of this (as of now) may indicate that BTC’s bull run has not yet shown its full potential.
RSI
Another measurement that indicates that BTC price may continue its uptrend in the near future It is the Relative Strength Index (RSI). This technical analysis tool determines whether the asset is overbought or oversold.
It ranges from 0 to 100, with a ratio above 70 signaling that a correction may be imminent. latest data demonstrations BTC RSI is 60 and mentioned level only four times in the last 30 days.
BTC RSI, Source: Crypto Waves
Waiving Trades
Finally, we will touch on the Bitcoin exchange. net flow Which It was predominantly negative load week (according to data from CryptQuant).
Gear shift The shift from centralized platforms to self-custody methods is considered bullish as it reduces immediate selling pressure.
BTC Exchange Netflow, Source: CryptoQuant
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