- Bitcoin has fallen by more than 5% in the last 24 hours.
- Market indicators pointed to a continued price decline.
Bitcoin [BTC] Price corrections continued as its value had fallen below the $66,000 mark at press time.
Although several factors were at play, miners' behavior may have affected the king of crypto's price more negatively than investors realized.
Sell Bitcoin miners
In the recent past, BTC has entered a downtrend as its value has fallen by over 5% in the last seven days. In the last 24 hours alone, BTC price witnessed another 5% correction.
Accordingly CoinMarketCapAt the time of writing, BTC was trading at $64,953.22, with a market cap of over $1.2 trillion.
Meanwhile, CryptoOnchain, author and analyst at CryptoQuant, published one analysis noting that BTC miners' reserves are declining.
To be precise, miners' reserves have reached their lowest level since April 2021, meaning miners have sold their holdings.
The analysis mentioned that this decline was followed by a much steeper rise since the beginning of November, which could have been one of the reasons for increasing selling pressure in the market.
Source: CryptoQuant
To check whether overall selling pressure was high, AMBCrypto took a look at CryptoQuant Data.
Our analysis found that BTC net deposits on exchanges were high compared to the last seven-day average, indicating high selling pressure.
BTC’s aSOPR was in the red, meaning more investors were selling for a profit at press time.
King Coin’s binary CDD was also in the red, indicating that long-term holders’ movements over the past seven days were above average.
Source: CryptoQuant
Market sentiment appeared to be pessimistic, as Bitcoin's Coinbase Premium shows. In particular, the metric showed that selling sentiment prevailed among US investors.
The Korea premium was also in the red, suggesting that Korean investors were selling BTC, adding to the overall selling pressure.
Source: CryptoQuant
Is another downtrend imminent?
AMBCrypto’s analysis of the Bitcoin daily chart suggested that the likelihood of further price decline was high. According to the Bollinger Bands, BTC price fell below its 20-day simple moving average (SMA).
To read Bitcoins [BTC] Price prediction 2024-25
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Its MACD also showed a bearish crossover.
Additionally, Bitcoin’s Relative Strength Index (RSI) recorded a sharp decline at press time, indicating a continued southward price movement.
Source: TradingView
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