Investors and traders are now breathing a sigh of relief after Bitcoin price projections on daily charts. However, cryptocurrency traders are still in a dilemma over BTC’s short-term price projections. Despite the growing purchase orders by miners and pocket investors.

Traders in the industry employ various indicators and metrics to get a feasible projection of assets. With the market more nervous than in the recent past, people remain bearish on Bitcoin. Regardless of the signals from the metrics and indicators. Successively, the fear and greed index continues at extreme fear, this time at a score of 9.

This is what these metrics say about Bitcoin!

As stated above, marketers in the industry take various indicators and metrics into account to forecast the outlook for Bitcoin. A popular indicator that investors use for BTC is the 200-week MA. This has historically shown Bitcoin’s strong support level. The flagship crypto has rallied whenever it has approached these support levels in the past.

He has done the same, this time too. After falling to the $17,737 level, BTC price managed to climb well above the support. To press time levels of $20,553.01. Another metric is the MVRV ratio, which is currently closer to the buy zones. On the other hand, the RSI has risen to 29.82 from the low of 21.46. Despite this, it is still in the oversold regions.

According to glass node, the Bitcoin stock-to-flow deviation model for the 7D MA has reached its all-time low of 0.196. Speaking of the Stock-to-Flow model, the Plan B model is widely known to people in the industry. Which expects the price of BTC to hit $10k by mid-2024. While there are certain limitations to the model, during the recent drop to $17,737, BTC broke below the lower band deviation for the first time.

In short, while multiple indicators suggest that BTC is waiting for a rebound. Since the market is sentiment driven and is witnessing irregular trading. The possibility of a worse case cannot be ruled out. With that being said, proponents of the crypto industry are expecting another drop and this time to levels around $16,000.

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This post Is this the start of a Bitcoin bounce or is a drop to $16k imminent?

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