Following a rollercoaster performance during the past week, Bitcoin has had a somewhat stable price action throughout the weekend. With eyes on the escalating tensions in the Middle East, it’s been a little challenging to determine the future trajectory of the crypto market.
Nevertheless, the technical and on-chain structure of the premier cryptocurrency suggests that the bear market is still fully on. In fact, the latest on-chain evaluation suggests that the price of Bitcoin is still vulnerable to downside volatility.
BTC Price Preparing For Another Round Of Bearish Momentum?According to Boris, volatility typically emerges within the long-term holder supply before major upward price movements. This phase is characterized by the strategic distribution of Bitcoin to the right locations in preparation for market activity.
Boris said:
As the market rises, these coins are gradually distributed to meet demand. When demand begins to weaken, the market typically transitions into a sideways structure, allowing the distribution process to continue.
Interestingly, the Bitcoin price decline has not reversed the upward trend in the long-term holder supply, implying that downside movement is still a major possibility. “Even if we see upward movements in the coming weeks, these are likely to represent a liquidity illusion occurring within the broader distribution phase,” Boris said.
Boris concluded that, based on the current data evidence, downward price movements toward the end of the year seem to be the more probable scenario for Bitcoin.
Bitcoin Price At A GlanceAs of this writing, the price of BTC stands at around $67,628, reflecting a 1% decline in the past 24 hours.
