Crypto analyst Rekt Capital believes Bitcoin (BTC) is currently undervalued, based on a key indicator.
Pi Cycle Top Indicator
The Pi Cycle top indicator uses two moving averages to assess Bitcoin’s price. When the price falls below the 111-day moving average (DMA), it has historically signaled a buying opportunity for investors.
Current Market Conditions
As of now, Bitcoin is trading below the 111 DMA, which Rekt Capital interprets as a potential bargain. He suggests that this may be a time of extreme fear and capitulation among sellers.
Upside Potential
According to the indicator, Bitcoin could see a rally towards the green moving average. However, it may face resistance initially. Once it breaks beyond the green moving average, it could potentially overextend to higher levels.
Disclaimer
It’s important to note that this analysis is based on a technical indicator and should not be taken as financial advice. Investors should conduct their own research before making any investment decisions.
