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The Beginning of a Decline Period for Bitcoin: Turned Negative! - Coin Bulletin
In Bitcoin, (BTC) an important indicator has crossed into the negative zone, which analysts believe could be the beginning of a decline and bearish period.
According to CryptoQuant analyst Maartun, the inter-exchange flow indicator that measures investors' market direction by tracking movements between Bitcoin spot and derivative exchanges, Inter-Exchange Flow Pulse (IFP) has entered the negative zone, indicating a decrease in market risk appetite and signaling the beginning of a possible downturn period.
According to this indicator, the transfer of Bitcoin to derivative exchanges indicates that investors are long (long) and expecting the market to rise. Conversely, when Bitcoin starts to flow from derivative exchanges to spot exchanges, it is observed that investors reduce their risk appetite and close their long positions. This is considered an important signal that whales are starting to reduce their risks and the market is entering a downtrend.
According to Maartun's analysis, the IFP indicator is currently in the negative zone. This situation may indicate a decrease in market risk appetite and the possible beginning of a bear market. If Bitcoin's exit from derivative exchanges accelerates, the increase in selling pressure and further price declines may occur.
According to CoinGecko, Bitcoin is trading at $96,233 at the time of writing the news.