Bitcoin $98,402.6 Its price reached a historical peak of $103,679, but the 6.8% decline following this peak attracted attention. Jan Happel and Yann Allemann, co-founders of crypto analysis platform Glassnode, warned against the possibility of a significant correction in the market. Weakening signals in the Bitcoin Fundamental Index (BFI) point to risks ahead for the market.
Risks of Decline in Bitcoin Fundamental Index Increase
Bitcoin Fundamental Index published by Glassnode is an important indicator that examines fundamental data in the market. Evaluating factors such as wallet activity, on-chain transaction volume and investor behavior, this index provides critical information about the health of the market. However, there has been a significant decline in the index in recent days.
Jan Happel and Yann Allemann made the following statements regarding this situation: “Bitcoin exceeded the $100,000 level, but BFI is giving signals of decline. “This indicator often provides early warning signals and, once confirmed, becomes difficult to ignore.” The weakening of the index is seen as an important factor that increases the risk of a market correction.
It is not yet clear whether investors will take these signals into account. In the Bitcoin market, where price movements are largely driven by speculation, such technical signals can often lead to significant fluctuations.
Investors’ Profit-Taking Strategies Are Being Reviewed
Analysts state that investors are re-evaluating their profit-taking strategies as the Bitcoin price exceeds the $100,000 threshold level. Glassnode’s “Net Realized Profit/Loss” metric shows that many Bitcoin holders are waiting to take profits.
“Bitcoin holders are aiming for higher price levels. “In this case, the delay in profit taking indicates price consolidation and the maintenance of a certain balance in the market,” said Happel and Allemann, drawing attention to the impact of investor behavior on market stability.
Currently, Bitcoin is trading at $96,579. This figure shows that Bitcoin has fallen 6.8% from its historical peak. Analysts are warning that the market could show more volatility in the coming weeks.
As a result, Bitcoin’s future price movements and the signals given by the Fundamental Index are closely followed by investors. These critical data are expected to significantly affect market behavior in the coming period.
Disclaimer: The information contained in this article does not constitute investment advice. Investors should be aware that cryptocurrencies carry high volatility and therefore risk, and should carry out their transactions in line with their own research.
