The optimistic scenario for bitcoin did not materialize last weekend. On Sunday a weekly high of $21,888 was recorded, but by the end of the day the momentum had moved in a bearish direction.
This week started in the same manner, and bitcoin showed 4 straight bearish candles on the daily chart.
The hope of an ascent to $28,700 has temporarily disappeared, and a retest of the $19,173 level seems most likely now. Despite a potential bearish move over the next couple of days, it is likely that bitcoin’s bear market days are all but numbered.
The Puell Multiplier is an important indicator that illustrates that bitcoin has bottomed. The rate of change of the indicator is now optimized and there are three obvious areas of the market cycle.
The red zones indicate euphoric bull market tops, the mid-cycle rallies are characterized by central consolidation, and the green zones mark the bottom of most bearish rallies. The 2022 Puell Multiple has confirmed a bear market, and gradually the price may begin to rise from this position.
Bitcoin whale movements may indicate that a bottom is forming. On November 12, 2021, 168.1 thousand bitcoins were accumulated, seven months later on June 18, another 148.1 thousand bitcoins were deposited into major wallets.
From this we can conclude that bitcoin could rebound from the previous week’s low of $19173. This will mark the beginning of the recovery, within which BTC will start to move to a steady price growth.