The post Bitcoin’s Wild Ride: Will This Be Your Last Chance to Buy Before The Next Big Surge? appeared first on Coinpedia Fintech News
Bitcoin’s price has shown just how unpredictable it can be, with recent ups and downs keeping investors on edge. After jumping from $53,500 to $66,000 in late September, the cryptocurrency quickly dropped to $61,000 in early October. While this sudden dip might raise concerns, it could be setting the stage for a major comeback and long-term growth for Bitcoin.
Bitcoin’s Long-Term Prospects
Despite encountering rejection after briefly crossing $66,000, Bitcoin continues to trade near critical levels. The cryptocurrency has been within a trend channel for the past seven months, a successful breakout above the upper trendline could pave the way for Bitcoin to reach new all-time highs
However, failure to break this key resistance could see BTC continuing to range throughout the rest of the year.
One key metric that has proven effective in predicting Bitcoin market cycles is the Long-Term Holder MVRV Z-Score. Currently, the Z-Score suggests that BTC still has room for upward movement. With market sentiment leaning toward fear, this metric strengthens the case for a potential buying opportunity.
Market Sentiment: Fear vs. Greed
While, the crypto market is known for its sensitivity to global events, especially Bitcoin. Investors’ emotions constantly swing between fear and greed, and recent geopolitical tensions in the Middle East have pushed Bitcoin sentiment back into the fear zone.
Historically, when Bitcoin enters this fear-driven stage, it presents an opportunity for savvy investors to “buy the fear” and sell during times of greed.
However, after touching the $66,000 mark in late September, sentiment moved to a neutral zone. Meanwhile, geopolitical tensions between Israel and Iran have reversed this sentiment, pushing Bitcoin back into fear.
Experts believe that buying Bitcoin during this phase of fear could prove beneficial, especially as we approach the end of the year, which often brings bullish trends.
Bid-Ask Ratio: Hint Buying Signal
Examining the bid-ask ratio helps determine whether buyers or sellers dominate the market. Recent data shows that spot bids have outweighed asks, indicating that traders have been accumulating Bitcoin during the market pullback.
This pullback, caused largely by geopolitical tensions, seems to have established a temporary bottom around the $60,000 level, a level where Bitcoin has been holding steady, despite selling pressure.
As BTC begins to reclaim key moving averages, this could be a sign that now is the right time to buy.
