Bitcoin’s price is a matter of great concern to investors. There’s no surprise there, seeing that the values of other digital tokens depend on it. The market rises when the price is high and vice-versa.
Bitcoin, the most well-known cryptocurrency, has had a slow price rise over the past few weeks. This fact has kept the crypto market in the red zone for a while, and investors are still sceptical about what’s to come.
The market experienced a sudden rise in Bitcoin prices. The bullish trend also shows up in the wider crypto market. Many tokens are showing a bullish sign.
BTC Surge in Recent Times
Bitcoin’s value increased by about 8.3% after the past seven days due to its recent surge. As of yesterday, the total crypto market capitalization had reached $1 trillion due to this price move. The coin stands at $20,463, per data from at the time of writing.
Analysts attribute the current surge in token sales to the purchase history and present purchases by large investors such as Bitcoin Whales. According to data, Bitcoin Whales purchased on average $15,800 of Bitcoin each year since January 2017.
A second metric shows BTC trading below its RP (Realized price). These data were also provided by analysts. This metric shows that Bitcoin could grow further if it trades above its RP.
The current price for Bitcoin’s RP is $21K. The pattern of Bitcoin’s movement might change if its price goes and stays beyond this figure. To see the likely outcome of Bitcoin’s price movement, it is important that you closely monitor its movements.
Information On Bitcoin Spent Output Profit Ratio
Bitcoin’s Spent Output Profit Ratio (SOPR) analyses the participants’ behaviour. BTC’s recent movements have impacted this ratio in particular the past 24 hours. The current SOPR level is likely to act as resistance as it remains below one as of this writing.
This ratio is calculated by dividing the created output value by its realized value. The price paid/price sold is this ratio. The ratio above 1. will result in the asset owner making a profit.
However, the solid asset that is worth less than 1 is considered a loss. It is more likely to be below 1 than it will become, or the greater the profit earned. But if it’s equal to 1, a break-even event has occurred.
Pixabay Featured Image, Charts from Tradingview