Crypto analyst Nicholas Merten, who has a huge following on YouTube, is sounding the alarm about Bitcoin. He says one key metric is flashing red, suggesting a possible downturn in the market.
ETF Outflows: A Sign of Trouble?
Merten points to a recent trend of Bitcoin exchange-traded funds (ETFs) seeing daily outflows. This means investors are pulling their money out of these funds, which is a bearish sign.
“We’re not seeing big buyers coming in to scoop up Bitcoin,” Merten says. “Instead, we’re seeing more money leaving than coming in, even from popular ETFs like GBTC and ARK.”
This isn’t just happening with older ETFs, either. New ETFs with lower fees are also seeing outflows, which is a significant indicator.
Moving Averages: Acting as Resistance
Another red flag is the behavior of Bitcoin’s moving averages. These are lines on a chart that show the average price of Bitcoin over a certain period.
Merten says that these moving averages, which were previously support levels for Bitcoin, are now acting as resistance. This means Bitcoin is struggling to break through these levels and is instead bouncing off them, which is a bearish sign.
Bitcoin’s Current Price
Bitcoin is currently trading at $58,118.
Disclaimer: This information is for educational purposes only and should not be considered investment advice. Always do your own research before making any investment decisions. /p>
