The decline, which has been going on for 2 months, was largely triggered by US investors focusing on sales. The involvement of Binance investors in the sales series brought greater losses and subsequently BTC It hit a new low at close to 80 thousand dollars. So is the nightmare over? It’s hard to predict today, but there are signs.
Appetite of US Investors
There are regions that we monitor periodically. For example, at the end of last year and in the first half of this year, we would follow the premium of the stock markets in South Korea for investor appetite. South Korean investors in technology and to AI shares As he lost weight, his appetite decreased considerably.
However, the main investor group that should not be lost is in the USA and Coinbase Premium It shows us this. According to Coinglass data, the Coinbase Premium Index turned net positive after roughly 1 month. We wrote that this started a few days ago, and now that the trend has turned completely positive, we can say that US investors are hungry.
ETF The change here, including demand, seems to herald a new good process in which we will see US investors as clearer buyers.
Cryptocurrencies May Rise
Permanent cryptocurrency rise @anlcnc1 has talked about this constantly and now Anil explains how this change should be interpreted. Coinbase Premium alone doesn’t mean all is left behind.
“This is not a data that you can buy futures or trade with, anyway, none of the data I share is data that you can buy futures from, it is all for informational purposes. CB Premium is just a data that you can understand the trend direction because it can remain positive even when the price is falling, which is the good thing for me. Our interpretation of this is that some people buy when it is falling, which means that the price may come back to where it fell, which has done this many times, so I can make this comment. On the contrary, the price can remain negative while it is rising, we can say that someone is selling the rises and the price falls back to where it rose. In other words, how can the price rises artificially when the premium is negative? “If it happened, just as someone sold every rise in this process, the declines in the price after it turned positive would be artificial, and we would see that someone is no longer a seller, but a buyer.”
The situation we are in today shows that US investors maintain their appetite while the price remains stable or weakens.
“The reason for turning positive Strategy There may be purchases, there may be other companies, but on the Coinbase side, the trend is now buying for some. We can see this on the spot side as well. The premium has been negative since the last drop at 80K level, but its momentum was recovering upwards, I shared from time to time. It only closed positive for 1 day, so we need to be patient. As I said, if it continues, we will see the benefits, but the timing is not clear. “When there is data turning from negative to positive, it would be wrong to expect a direct response in the price.”
Another detail that Anıl pointed out is that the aggressive panic selling of short-term investors has weakened, as seen above. This may be due to the holiday or it may be considered as seller exhaustion. However, if US investors are showing appetite while whale purchases continue in an environment where the sales are weakening, this tells us that we can be more hopeful for the rise.
“Bitcoin
$90,811.29‘also Aggressive selling by short-termers has decreased significantly. The most intense panic selling came at the 80K lows and the price turned around from there. The average cost of STHs is currently around 104,350. They will make a critical decision when the price approaches this zone. If the zone is not broken permanently and short-termers continue to sell, the price will be pressured again and we will come back down. That’s why STH costs are important in terms of investor behavior. You can understand their importance by directly empathizing. Like what would you do if you came to your average cost? – Anil
