26.01.202311:45 Forex Analysis & Reviews: Glassnode: Bitcoin is at a crossroads.

The price of one bitcoin remains at $23,000. Since the price has not significantly altered over the past day, we can infer that the cryptocurrency is once again waiting. The market is currently demonstrating its capacity to trade without specific news or events, so this time it is not waiting for a fundamental background but rather for new players and new agreements. Remember that the last period of growth started with the release of the US inflation report? Since that time has passed, several weeks have elapsed, so we don't attribute all the upward movement to a single report.

Meanwhile, the research firm Glassnode announced that bitcoin was approaching a tipping point where its future direction would be determined. We are referring to the aSOPR indicator's level of 1.0. Overcoming this threshold or recovering from it typically results in further expansion or contraction. So, in the coming days, we might get the answer to a crucial query: Is the present bearish trend over or not? According to the business, breaking over this level will signal that bulls are returning to the market, and their positions will be sufficient to counteract individual traders' urge to fix long positions. Let's check to see if this is true.

In addition, it has been stated that over the last two weeks, miners have sold a record amount of mined bitcoin. This indicates that they were genuinely eager to get rid of everything they had because they were worried about a new, steep peak. When the "bitcoin" quotes fell below $30,000, many miners experienced a lack of liquidity and difficulty repaying their loans. Some of them were obliged to cut production quantities, as we have mentioned, while others were forced to get rid of equipment. For many, the recent 30% increase in the price of bitcoin was just a "gift of fate" and a great chance to improve their financial situation. Experts observe that many miners are receiving a lot of credit but did not anticipate such a protracted and chilly crypto winter. Massive coin sales, however, indicate that the supply is expanding, which could cause a further decline in the value of the cryptocurrency. Additionally, we would like to warn you that a $7,000 gain cannot be categorically viewed as the end of a bearish trend. The market is still far too uncertain, and the underlying conditions are still unfavorable for hazardous assets.

The decline to $12,426 is currently being postponed because the quotes for "bitcoin" have surpassed the threshold of $18,500 over the past 24 hours. The value of the coin as of right now is $24,350. Rebounding from this point can put bitcoin back on a downward trend; surpassing it can make the continuation of the "bearish" trend uncertain. We don't think the "bullish" trend has started yet, and we don't think there will be any further bitcoin declines in 2023. For "bitcoin," the fundamental background is still fairly complicated.