Bitcoin (BTC), the leading cryptocurrency, suffered one of the biggest falls in its history at night. Bitcoin price dropped from $ 41,500 levels below $ 33,500 levels. As a result, BTC suddenly deleted over $ 8,000. Due to this decline, the entire market has turned bloodbath, and losses are rising at the time of writing. According to CryptoQuant CEO Ki-Young Ju, Bitcoin is in the middle of a “pretty big regulation” due to the miners’ selling pressure. The leading cryptocurrency is currently down almost 15 percent in the past 24 hours. This drop surprised all investors and analysts as BTC was expected to rise further overall.
Earlier today, NorthmanTrader’s leading market strategist, Sven Henrich, noticed that the Relative Strength Index (RSI) reached 93, the highest ever. This indicates that the variable asset is overbought, according to the analyst. However, earlier this week, veteran analyst Peter Brandt claimed that the assets are often overbought in the rising bull markets. According to Peter Brandt, this has exactly happened during the last bullish cycles of Bitcoin. Very high MPI readings show that miners are actively making a profit rather than accumulating, thus putting pressure on the market.
P.S: This is not an investment advice.