While the latest inflation data from the USA increased the expectations that the FED will become more hawkish, the markets reacted strongly to this. Although Bitcoin (BTC) managed to hold on to the support level of 20,000, the expectations that the risk appetite will be low before the FED meeting on September 21 made investors nervous.
There was also a comment from popular analyst Willy Woo on whether Bitcoin is at the bottom. Remembering that the maximum pain level has not yet been reached compared to the previous bear market bottoms, Woo said, “History does not have to repeat itself, but the level at which the maximum pain will be experienced in Bitcoin seems to be $ 9100.” said.
"Have we bottomed?
In terms of max pain, the market has not felt the same pain as prior bottoms. We can see this in the blue line (supply in profit by
We have only reached 52% of coins being underwater so far.
Prior bottoms were 61%, 64%, 57%."
Woo also shared a chart, stating that he expects the trendline of the supply in profits for new capital inflow to be broken.
"History doesn't need to repeat, especially in the modern era with futures hedging available that is not picked up on-chain.
But if we do get a repeat with max pain reaching 60% of the supply underwater, that price is currently at $9100, and slowly drifting upwards with time."
"Which brings me to one of the signals I'm watching before rotating capital back in...
Supply in profit trend-line break. It broke cleanly in all of the prior bear market bottoms."
In fact, it is not possible to know exactly where the bottom of Bitcoin is. In the price movements that will occur under $ 20,000 in BTC, which is affected by many variables, the thoughts that gradual buying will be more profitable in the long run are predominant.