The bitcoin price is heading to form new bottoms, as after rebounding a couple of times, it dropped below $16,000 and formed new yearly lows at $15,476. The capitulation period, which is speculated to have begun with the fresh sell-offs, is expected to drag the בטק פּרייַז lower as the MVRV ratio has plunged below 0.6.
The ratio has plunged to these levels only a couple of times in the past decade, in Jan 2015 and December 2018. Meanwhile, the capitulation appears extremely high but the possibility of a bullish reversal from the bottom appears high.
With the recent drop in the prices, the traders are experiencing huge losses and they may be compelled to liquidate their assets at a loss. As per the on-chain data provider, Santiment, the network has recorded the lowest amount of BTC transactions in Profit since 2019.
Source: https://coinpedia.org/price-analysis/bitcoin-is-breaking-down-while-the-hash-rate-marks-new-ath-are-the-bottoms-in/