Bitcoin is wandering in the bear zone, whales take a step back
The Bitcoin (BTC) price has been roaming below the crucial $67,000 after it briefly touched an intraday high of around $67,600.
BTC declined by 0.7% in the past 24 hours and is trading at $66,500 at the time of writing. The asset’s market cap is standing on the cliff side of the $1.3 trillion mark. Bitcoin’s daily trading volume, however, has increased by 40%, reaching $22.2 billion.
Moreover, the BTC price plunge comes amid declining whale activity. According to data provided by Santiment, the number of whale transactions consisting of at least $100,000 worth of BTC dropped by 51% over the past five days — decreasing from 11,757 transactions on May 15 to 5,756 unique transactions per day at the reporting time.
Quite similarly, the BTC Relative Strength Index (RSI) has also been consistently declining along with the asset’s whale activity. Per the market intelligence platform, the Bitcoin RSI plunged from 70 to 57 over the past five days.
The indicator shows that Bitcoin has fallen from the overvalued zone and a potential price hike could be expected.
At this price point, the declining whale activity and RSI would also mean lower price volatility for the largest cryptocurrency by market cap.
According to data from Santiment, the BTC Market Value to Realized Value (MVRV) ratio is sitting at 143%, or 2.86x, at the reporting time. The key indicator shows that the average price of all Bitcoins acquired until now has increased by 143% at this price point.
In addition, the BTC MVRV ratio declined from 146% over the past three days. Historically, Bitcoin holders usually wait for a price surge before attempting to sell their assets when the MVRV ratio falls.
