The price of Bitcoin (BTC) continues to hover below the pivotal $67,000 mark, having briefly touched an intraday high of approximately $67,600 before retreating.
As of the time of writing, BTC has experienced a 0.7% decline over the past 24 hours, settling at $66,500. The cryptocurrency’s market capitalization stands on the precipice of the $1.3 trillion threshold. Despite the price dip, Bitcoin‘s daily trading volume has surged by 40%, reaching $22.2 billion.
The recent downturn in BTC price coincides with a notable decrease in whale activity. Data from Santiment reveals that transactions involving at least $100,000 worth of BTC have plummeted by 51% over the past five days, dwindling from 11,757 transactions on May 15 to 5,756 unique transactions per day at present.
Similarly, Bitcoin’s Relative Strength Index (RSI) has exhibited a consistent decline alongside the reduction in whale activity. According to the market intelligence platform, the Bitcoin RSI has dropped from 70 to 57 over the same five-day period.
Analysts suggest that the declining RSI indicates Bitcoin’s departure from the overvalued territory, potentially paving the way for a price upswing.
The diminished whale activity and decreasing RSI imply reduced price volatility for the leading cryptocurrency by market capitalization.
Santiment’s data further reveals that the BTC Market Value to Realized Value (MVRV) ratio presently sits at 143%, or 2.86x. This crucial metric signifies that the average price of all Bitcoins acquired thus far has risen by 143% at the current price level.
Moreover, the BTC MVRV ratio has dipped from 146% over the past three days. Historically, Bitcoin holders tend to await a price surge before contemplating asset sales when the MVRV ratio declines.
