Here’s why analysts think it’s too early for Bitcoin long positions

As the Bitcoin price is less than $ 100,000, experts warn that time may not be good for new long exchanges.

Bitcoin (BTC) is still more than $ 100,000, but signs of a slowdown are displayed, and analysts warn that it could be too early for long positions. Despite the recent Bitcoin jump, going from $ 102,000 after plunging $ 91,229 on February 3, the relative force index was consolidated.

“Bitcoin historically presented solid purchasing opportunities only when the RSI fell to around 40%,” wrote analysts from Blockchain Matrixport in a February 5 research note. At the time of the press, the RSI is 48%. The brand still too high to trigger the usual market models for optimal entry points, warn analysts. Due to this uncertainty, Matrixport suggests that investors should remain patient and expect a better purchase opportunity.

The sharp increase of February 4 came after a great decline due to concerns concerning the president Donald TrumpThe pricing hikes offered, which aroused fears of a trade war. However, after Trump moved to temporarily stop the prices, the Bitcoin price has bounced.

Recovery has also been fed by enormous liquidation of speculative bets. The crash of February 3 was the largest of all time, even worse than terra and ftx, crypto.news reported. On February 3, the cryptography market was faced with a serious fall, with more than $ 2.3 billion in leverage crypto positions during liquidation within 24 hours. One of the alternative estimates highlights 8 to 10 billion dollars in cryptographic liquidation.

The still uncertain market conditions, analysts suggest that “more strategic approach would be to exercise patience and wait for an optimal entry point”.