Bitcoin has hit an all-time high, reaching $93,242, but now shows signs of slowing momentum, raising concerns of potential corrections. The cryptocurrency's NVT (Network Value to Transactions) Ratio has increased, suggesting its network value might be growing faster than its transaction activity.
Historically, such a trend has indicated possible price corrections. Additionally, the Fear and Greed Index shows signs of extreme greed, signaling that investors are overly optimistic and the market might be vulnerable to sell-offs.
Currently, Bitcoin is trading at $90,673, maintaining a crucial support level at $88,691 and facing resistance at $92,000. If Bitcoin breaks below this support, it could fall further, potentially reaching as low as $80,301, escalating bearish sentiment in the market.
Conversely, if Bitcoin successfully holds its support and breaches the $92,000 resistance, it might reinstate bullish momentum, preserving its long-term upward trajectory, and targeting new all-time highs.
