Analyst Says Bitcoin Fun Will Begin When This Flip Happens
Analyst Says Bitcoin Fun Will Begin When This Flip Happens An analyst has explained how a crossover between these two Bitcoin metrics would have to happen before the ‘fun’ can begin for the asset. Bitcoin Realized Price Is Yet To Flip 200-Week MA In a new post on X, analyst James Van Straten has discussed about the Realized Price and 200-week moving average (MA) for Bitcoin. The “Realized Price” here refers to an on-chain indicator that, in short, keeps track of the cost basis or acquisition price of the average investor on the BTC network. When the spot price of the cryptocurrency is greater than this metric, it means the holders as a whole are in a state of net unrealized profit. On the other hand, it being under the indicator suggests the overall market is holding loss. The 200-week MA, the other metric of interest here, is an indicator from technical analysis. An MA is a tool that calculates the average value of a given quantity over a specified time period and as its name implies, moves with time. MAs are useful for studying long-term trends, as they remove all the short-term kinks out of an asset’s price chart. Certain MAs are considered to carry more significance than the other, with one such period being 200 weeks. Below is the chart shared by the analyst that shows the trend in the Bitcoin Realized Price and 200-week MA over the past several years. Looks like the two lines have been approaching a crossover in recent weeks | Source: @btcjvs on XAs is visible in the graph, the Bitcoin Realized Price fell under the 200-week MA back during the 2022 bear market. Since then, the metric has remained under the line, but recently, it has been fast approaching a retest. From the chart, it’s apparent that previous crosses for the indicator above the MA led to full-blown bull runs for the cryptocurrency. “When the realized price flips the 200WMA the fun begins,” notes Van Straten. Thus, it’s possible that such a crossover could end up being bullish for Bitcoin in the current cycle as well. It only remains to be seen, though, whether the Realized Price would actually end up surpassing the level in the near future or if a rejection is waiting. On another note, the Realized Price has historically served as the boundary line for the bear market lows in the asset’s price. As mentioned earlier, the majority of the market enters into a state of loss when BTC falls under the metric. There aren’t many sellers left looking to take profits in such a market, which is why the asset tends to reach a bottom during it. BTC Price Bitcoin has shown a sharp jump over the past day as its price has recovered to the $96,600 mark after having dropped as low as under $90,000 yesterday. The price of the coin appears to have rebounded during the last 24 hours | Source: BTCUSDT on TradingViewFeatured image from Dall-E, Glassnode.com, chart from TradingView.com Keshav Verma Keshav is currently a senior writer at NewsBTC and has been attached to the website since June 14, 2021. Keshav has been writing for many years, first as a hobbyist and later as a freelancer. He has experience working in a variety of niches, even fiction at one point, but the cryptocurrency industry has been the longest he has been attached to. In terms of official educational qualifications, Keshav holds a bachelor’s degree in Physics from one of the premier institutes of India, the University of Delhi (DU). He started the degree with an aim of eventually making a career in Physics, but the onset of COVID led to a shift in plans. The virus meant that the college classes had to be delivered in the online-mode and with it came free time for him to explore other passions. Initially only seeking to make some beer money, Keshav unexpectedly landed clients offering real projects, after which there was no looking back. Writing was something he had always enjoyed and to be able to do it for a living was like a dream come true. Keshav completed his Physics degree in 2022 and has been focusing on his writing career since, but that doesn’t mean his passion for Physics has ended. He eventually plans to re-enter university to obtain a masters degree in the same field, but perhaps only to satiate his own interest rather than for using it as a means to find employment.. Keshav has found blockchain and its concepts fascinating ever since he started going down the rabbit-hole back in 2020. On-chain analysis in particular has been something he likes to research more about, which is why his NewsBTC pieces tend to involve it in some form. Being of the science background, Keshav likes if concepts are clear and consistent, so he generally explains the indicators he talks about in a bit of detail so that the readers can perhaps come out having understood and learnt something new. As for hobbies, Keshav is super into football, anime, and videogames. He enjoys football not only as a watcher, but also as a player. For games, Keshav generally tends towards enjoying singleplayer adventures, with EA FC (formerly FIFA) being the only online game he is active in. Though, perhaps due to being ultra-focused on the game, he is today a semi-pro on the EA FC scene, regularly participating in tournaments and sometimes even taking back prize money. Because of his enthusiasm for anime and games, he also self-learned Japanese along the way to consume some of the untranslated gems out there. The skill didn’t merely remain as just a hobby, either, as he put it to productive use during his exploration for small-time gigs at the start of COVID, fulfilling a couple of Japanese-to-English translation jobs. Keshav is also big into fitness, with agility and acceleration-related workouts making a big part of his program due to the relevance they have in football. On top of that, he also has a more traditional strength based program for the gym, which he does to maintain an overall fitness level of his body. Disclaimer: The information found on NewsBTC is for educational purposes only. It does not represent the opinions of NewsBTC on whether to buy, sell or hold any investments and naturally investing carries risks. You are advised to conduct your own research before making any investment decisions. Use information provided on this website entirely at your own risk.