Bitcoin (BTC) is currently trading at $112,306 at the time of this report, showing resilience despite a slowdown in network demand. The Bitcoin miner supply-demand balance index has reached 60%, indicating that demand still slightly outweighs supply, though the gap is narrowing. Experts note that this balance is sufficient to absorb selling pressure. However, the decline from previous highs has prompted investors to exercise caution.
Price Remains Above the Uptrend Line
Bitcoin continues to stay above its uptrend support line, which currently provides strong support around $107,000. Prices have bounced back above $112,000, positioning BTC within the Bollinger Bands range. Key resistance levels are identified at $117,000, $122,000, and $124,000. Should the price break below $107,000, a decline toward $104,000 could become likely.
NVT Ratio Shows Improvement
The Bitcoin Network Value to Transactions (NVT) ratio has decreased by 12.26%, reaching 26.90. This drop indicates healthier transaction activity relative to the market value. Analysts suggest that this trend reduces the risk of overvaluation while providing a stronger foundation for the market.
Open Interest Rises in Derivatives Market
The open interest in the Bitcoin derivatives market has increased to $42.15 billion, marking a 2.66% growth. This rise reflects renewed investor interest in derivatives. Increasing long and short positions often signal higher price volatility, potentially strengthening price movements.
With miners maintaining balance, Bitcoin holding above its uptrend, the NVT ratio improving, and rising open interest, the market outlook remains cautiously positive. However, a further drop in demand or a break of the uptrend line could pose serious risks to BTC’s price. For those looking to buy or sell Bitcoin, registration on the Balinex exchange is recommended.
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