Bitcoin (BTC) has dropped 5.5% in the past 24 hours, falling below the $100,000 mark, despite a 38% surge in trading volume to $67 billion. The decline stems from bearish signals in key metrics, including the 7-day MVRV Ratio and heightened whale activity, both indicating mounting selling pressure.

While BTC’s EMA lines maintain a bullish outlook, a rapid decline in short-term EMAs suggests a potential bearish reversal if a death cross occurs. The next few days will be pivotal as BTC approaches critical support and resistance levels, which could shape its next directional move.

MVRV Ratio Shows BTC Could Continue Dropping

The 7-day Market Value to Realized Value (MVRV) Ratio for Bitcoin is currently at -2.63%, a significant drop from 5.6% recorded two days ago. The MVRV Ratio measures whether BTC holders are in profit or loss by comparing the market value (current price) to the realized value (average purchase price).

Negative MVRV values, like the current one, indicate that, on average, BTC holders are in a loss position, potentially signaling a period of market capitulation or undervaluation.

Historical trends suggest that BTC’s 7D MVRV Ratio could decline further to levels around -5% or -6% before a recovery begins, as observed between December 20 and December 23.

If this pattern repeats, BTC could experience additional selling pressure in the short term, potentially testing lower support levels.

Bitcoin Whales Are Accumulating at a Slow Pace

The number of Bitcoin whales holding at least 1,000 BTC reached a month-high of 2,108 on December 16 before sharply dropping to 2,061 just one day later. Tracking whale activity is crucial because these large holders

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Author: Tiago Amaral