Bitcoin (BTC) is printing a key bear market bottom signal at $87,000 as analysis says that BTC price history may repeat. Because obviously the universe is a broken record that only plays one song 🎶.
Key points:
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Bitcoin’s velocity RSI metric returns to levels seen only around bear market bottoms. Like a ghost haunting your portfolio 👻.
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BTC price action could thus be performing a “major cyclical reset,” says analysis. Translation: “We’re rebooting the chaos.” 💾
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The crypto long/short ratio breaks a lifetime habit as Bitcoin tumbles. Because why not add insult to injury? 😒
Velocity RSI sees BTC price bottom in progress
In an X post on Tuesday, analyst On-Chain Mind flagged rare single-digit readings on Bitcoin’s velocity relative strength index (RSI) indicator. Cue the dramatic music! 🎼
Bitcoin bear market comparisons have come thick and fast in recent weeks, but now, a leading BTC price indicator demands a market bottom. Because of course it does. It’s like your therapist telling you to fake it till you make it 💸.
Velocity RSI, which takes into account recent price momentum changes, has now dived below 10/100 to hit some of its most “oversold” levels ever. Imagine selling your soul at a discount. 🛍️
“The Velocity RSI on the 3-day chart has just hit its lowest reading since the bottoms of the last 3 bear markets,” On-Chain Mind said. Congrats, you’ve joined the “I Survived a Crypto Winter” club! 🏆
An accompanying chart showed similar chart setups at the end of Bitcoin’s 2018 bear market, as well as midway through 2022, around six months before the most recent true bear market found its long-term floor. It’s like watching a soap opera, but with more zeros. 🧼
“It’s one of the more reliable, widely tracked momentum exhaustion indicators, and it’s now flashing a level we only see at major cyclical resets,” On-Chain Mind added. Because nothing says “reliable” like a financial séance. 🕯️
“An interesting technical signal worth paying attention to.” Or not. Your wallet thanks you for ignoring it. 💸
Bitcoin long/short ratio enters unknown territory
Depending on the perspective, current BTC price behavior stands out from past bearish phases. Like a lone wolf in a crypto pack. 🐺
Not all classic price metrics have reacted the same to the latest events, and these now include Bitcoin’s long/short ratio. Because why follow the rules when you can invent new ones? 🤷♂️
Joao Wedson, founder and CEO of crypto analytics platform Alphractal, noticed an unusual phenomenon playing out this week. “Unusual” being the new “normal.” 🌀
“Over the years, we’ve identified several strong Alpha signals in the crypto market. One of the most reliable has always been this: when Bitcoin’s Long/Short Ratio rises above the average of major altcoins, it historically points to a price bottom forming. But this time something different happened,” he told X followers. Oh no, innovation! 🔥
“For the first time ever, BTC kept this ratio at extremely elevated levels for an unusually long period – and yet we saw false bottom signals throughout November, while the price continued to drop.” Brilliant. Because who doesn’t want to chase a falling knife and get cut? 🥷🔪
Wedson explained that the implications of this could hurt bulls. Traders being overly eager to long BTC while attempting to catch a falling knife may incentivize large-volume players to liquidate them by driving the price down further. Because nothing says “bullish” like crying in a bear market. 😢
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2025-12-02 17:14