- Bitcoin was in the overvalued zone at press time.
- If a price correction occurs, BTC might plummet to $66K.
Bitcoin’s [BTC] price registered a sharp uptick, causing it to inch towards $70K at press time. However, there is a possibility of a slight correction before the start of another rally.
So, AMBCrypto checked BTC’s metrics to find whether its price will face a correction soon.
Bitcoin’s heads towards $70K
According to a tweet by Captain Faibik on the 9th of March, BTC could rise another 10% if it manages to cross the $69 mark.
To corroborate this information, AMBCrypto checked Bitcoin’s price via CoinMarketCap. We found that BTC was up by nearly 2% in the last 24 hours.
At press time, BTC was trading at $69,515.98 with a market capitalization of over $1.37 trillion.
However, AMBCrypto’s analysis also revealed that there were chances of BTC witnessing a price correction in the short term.
Things look bearish for Bitcoin
Notably, BTC’s Network Value to Transactions (NVT) ratio registered a sharp uptick in the last few days.
For the uninitiated, the NVT ratio is computed by dividing the market cap by the transferred on-chain volume, measured in USD.
Whenever it rises, it suggests that the cryptocurrency in question is priced at a premium, hinting at a possible correction.
Source: Glassnode
A few other metrics also looked bearish on the coin. Our look at CryptoQuant’s data pointed out that BTC’s aSORP was in the red at press time, meaning that more investors are selling at a profit.
But in the middle of a bull market, it can indicate a market top.
Its Binary CDD was also showing bearish signals, as long-term holders’ movements in the last seven days were higher than average. So, if more long-term holders are selling, it could harm BTC exponentially.
Source: CryptoQuant
Read Bitcoin’s [BTC] Price Prediction 2024-25
If a price correction happens, BTC might witness strong short-term support near the $66k-$65k mark. Notably, the MACD displayed that the bulls and the bears were in a battle at the time of writing.
The coin’s 4-hour chart also pointed out that its Relative Strength Index (RSI) was about to enter the overbought zone. If that happens, selling pressure might increase, and BTC’s value could touch its support.
Source: TradingView