Bitcoin [BTC]: Trend reversal on the horizon? Analysts Say…

• New analysis suggested that the price of BTC could fall in the coming days.
• On-chain metrics and some market indicators looked bearish.

For the past few days, the crypto market has been on an upward trajectory, which has caused the prices of most cryptos to surge. Bitcoin [BTC]The market leader also benefited from the situation.

Accordingly CoinMarketCapThe price of BTC has increased by more than 3% and 13% in the last 24 hours and the last seven days, respectively. At the time of writing, BTC is trading at $24,482.41 with a market cap of more than $472.4 billion. However, the tide could soon turn.

To read Bitcoins [BTC] price prediction 2023-24

Short-term trouble

CryptoOnchain, a writer and analyst at CryptoQuant, published one analysis on Feb. 17, suggesting that BTC’s good days may be ending soon. According to the analysis, the inflow of bitcoins to exchanges increased and the outflow of stablecoins from exchanges – a bearish signal.

Source: CryptoQuant

A few other metrics also looked bearish Bitcoin. For example, Glassnode Alerts revealed that the balance of Bitcoin on the exchanges hit a monthly high of 2,267,202.721 BTC.

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📈 #Bitcoin $BTC balances on exchanges just hit a 1-month high of 2,267,202,721 BTC

The previous 1-month high of 2,266,916.823 BTC was observed on Jan 19, 2023

View metric: https://t.co/9vOOAmwh32 pic.twitter.com/h8ytX0U6f6

— Glassnode Alerts (@glassnodealerts) February 18, 2023

As with CryptoQuant DataBTC’s currency reserve also rose, suggesting higher selling pressure. Additionally, the aSORP was also in the red, causing more investors to sell at a profit, signaling a potential market top.

Demand from the derivatives market also appeared to be fading as BTC’s buy-to-sell ratio suggested that selling sentiment was dominant in the futures market. According to Santiment’s diagram is Bitcoin‘s stock market inflow has surged in recent days. Additionally, negative sentiment towards BTC also increased, reflecting lower investor confidence.

Source: Santiment

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Bitcoin: what the metrics have to say

Continuing the bearish trend, BTC’s Relative Strength Index (RSI) is floating near the overbought zone, which could add selling pressure. Besides the king coin‘s Chaikin Money Flow (CMF) turned down and continued to move below the neutral level.

Regardless, the MACD showed a bullish crossover, giving hope for a sustained uptrend in the short-term.

Source: TradingView

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