BTC fell below 60K! The head and shoulders pattern of Bitcoin is complete, should we flee or buy the dips?

Bitcoin has been weak recently and fell below the $60,000 mark last night as technology stocks pulled back. 10x Research believes that the top shape of Bitcoin is complete and has fallen below the important support price. You should exit the market first and wait for a lower price before buying! Trader Ali Martinez holds the opposite opinion. Based on the technical analysis indicators RSI and MVRV, he pointed out that Bitcoin is already oversold, which is an excellent opportunity to buy the dips.

( Bitcoin fell below 60K! The Dow Jones Industrial Index rose, Nvidia fell more than 6% and returned to third place in market capitalization )

10x Research: Bitcoin’s M head shape is complete

Bitcoin continues to plummet, and the M head pattern (double top) appears! According to analysis by 10x Research , Bitcoin has fallen below its support price of 63,379 and transformed into an M-head pattern (double top), which may lead to a larger decline. It is recommended that investors should sell first and wait for a lower price before buying!

Trader Ali: Already bargain buy the dips

Trader Ali Martinez holds the opposite opinion. Based on the technical analysis indicators RSI and MVRV, he pointed out that Bitcoin is in an oversold pattern and believes that now is an excellent time to buy the dips.

RSI is in the oversold zone

According to backtesting, over the past two years, Bitcoin RSI has hit oversold territory three times, causing BTC prices to surge by 60%, 63%, and 198% respectively. And currently the RSI is once again in oversold territory.

Note: RSI indicator (Relative Strength Index), called "relative strength index" in Chinese, can be used to judge the strength of buyers and sellers during this period. The RSI value ranges from 0 to 100. The higher the value, the more active the buyer's market, and the lower the value, the colder the market.

MVRV ratio is -8.96%

Since February 2023, Bitcoin's MVRV ratio has fallen below -8.40% four times, triggering BTC price increases of 63%, 100%, 92%, and 28%. With Bitcoin currently trading below $60,000 and with an MVRV ratio of -8.96%, this could be an ideal time to buy on the dip!

Note: The full name of MVRV is Market Value to Realized Value, which is used to measure the difference between the circulating market value (Market Value) and the realized market value (Realized Value) of Bitcoin, and is used to judge the market sentiment of Bitcoin.

(This article is not investment advice, please DYOR)