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Breaking News: Bitcoin Price Falls Under $100,000: Elliott Wave Analysis Forecasts Decline To $70,000
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Breaking News: Bitcoin Price Falls Under $100,000: Elliott Wave Analysis Forecasts Decline To $70,000

Bitcoin Taker Buy/Sell Ratio Short-Term Bull Signal Goes Off

Keshav Verma
Keshav Verma
Last Updated: June 11, 2024 10:41 am
3 mins read
Bitcoin

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On-chain data shows the Bitcoin taker buy/sell ratio has recently crossed above ‘1,’ a sign that the crypto could experience short-term bullish momentum.

Bitcoin Taker Buy/Sell Ratio Surges Up Above A Value Of 1

As explained by an analyst in a CryptoQuant post, the current BTC taker buy/sell ratio trend may suggest the crypto might see sideways movement or a bullish reversal in the short-term.

The “taker buy/sell ratio” is an indicator that tells us about the ratio between the long and short volumes in the Bitcoin futures market.

When the value of this metric is greater than one, it means the long volume is more dominant at the moment. Such a trend suggests that the general sentiment is bullish right now.

Related Reading | Bitcoin Long-Term Holder Capitulation Approaching Bottom Zone, But Not Quite There Yet

On the other hand, the indicator’s value being less than that implies that the selling pressure is currently stronger than the buying pressure in the Bitcoin market.

Now, here is a chart that shows the trend in the BTC 50-day moving average taker buy/sell ratio over the last year:

Bitcoin Taker Buy/Sell Ratio

Looks like the value of the metric has surged up in recent weeks | Source: CryptoQuant

As you can see in the above graph, the quant has marked the relevant points of trend for the Bitcoin taker buy/sell ratio.

It seems like whenever the indicator has sunk below a value of one, the coin’s price has observed a bearish trend soon after.

Related Reading | Experts Are Calling Out That Bitcoin Is Dead. Projects Like Gnox (GNOX) And Fantom (FTM) Ushering In New Age Of Crypto.

Similarly, the ratio crossing over the one line has usually been followed by a bullish reversal or sideways movement for the crypto.

In recent weeks, the taker buy/sell ratio’s value has once again observed a surge and has now gone past the “one” threshold.

If the past trend is anything to go by, this could mean that Bitcoin may have either a temporary bullish reversal or sideways movement in store for the near future.

BTC Price

At the time of writing, Bitcoin’s price floats around $20.5k, up 2% in the last seven days. Over the past month, the crypto has lost 31% in value.

The below chart shows the trend in the price of the coin over the last five days.

Bitcoin Price Chart

The value of the crypto seems to have shot up over the past day | Source: BTCUSD on TradingView

Over the last few days, Bitcoin has been mostly consolidating sideways. However, in the past twenty-four hours or so, the coin’s value seems to have gained some upwards momentum as it now breaks above the $20k mark again.

Featured image from Kanchanara on Unsplash.com, charts from TradingView.com, CryptoQuant.com
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Keshav Verma
Keshav Verma

Keshav Verma

Keshav is currently a senior writer at NewsBTC and has been attached to the website since June 14, 2021.

Read more

Keshav has been writing for many years, first as a hobbyist and later as a freelancer. He has experience working in a variety of niches, even fiction at one point, but the cryptocurrency industry has been the longest he has been attached to.

In terms of official educational qualifications, Keshav holds a bachelor’s degree in Physics from one of the premier institutes of India, the University of Delhi (DU). He started the degree with an aim of eventually making a career in Physics, but the onset of COVID led to a shift in plans. The virus meant that the college classes had to be delivered in the online-mode and with it came free time for him to explore other passions.

Initially only seeking to make some beer money, Keshav unexpectedly landed clients offering real projects, after which there was no looking back. Writing was something he had always enjoyed and to be able to do it for a living was like a dream come true.

Keshav completed his Physics degree in 2022 and has been focusing on his writing career since, but that doesn’t mean his passion for Physics has ended. He eventually plans to re-enter university to obtain a masters degree in the same field, but perhaps only to satiate his own interest rather than for using it as a means to find employment..

Keshav has found blockchain and its concepts fascinating ever since he started going down the rabbit-hole back in 2020. On-chain analysis in particular has been something he likes to research more about, which is why his NewsBTC pieces tend to involve it in some form.

Being of the science background, Keshav likes if concepts are clear and consistent, so he generally explains the indicators he talks about in a bit of detail so that the readers can perhaps come out having understood and learnt something new.

As for hobbies, Keshav is super into football, anime, and videogames. He enjoys football not only as a watcher, but also as a player. For games, Keshav generally tends towards enjoying singleplayer adventures, with EA FC (formerly FIFA) being the only online game he is active in. Though, perhaps due to being ultra-focused on the game, he is today a semi-pro on the EA FC scene, regularly participating in tournaments and sometimes even taking back prize money.

Because of his enthusiasm for anime and games, he also self-learned Japanese along the way to consume some of the untranslated gems out there. The skill didn’t merely remain as just a hobby, either, as he put it to productive use during his exploration for small-time gigs at the start of COVID, fulfilling a couple of Japanese-to-English translation jobs.

Keshav is also big into fitness, with agility and acceleration-related workouts making a big part of his program due to the relevance they have in football. On top of that, he also has a more traditional strength based program for the gym, which he does to maintain an overall fitness level of his body.

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Disclaimer: The information found on NewsBTC is for educational purposes only. It does not represent the opinions of NewsBTC on whether to buy, sell or hold any investments and naturally investing carries risks. You are advised to conduct your own research before making any investment decisions. Use information provided on this website entirely at your own risk.

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Reason to trust

Strict editorial policy that focuses on accuracy, relevance, and impartiality
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