Bitcoin (BTC) is approaching a $2 trillion market cap, currently at $1.89 trillion, after rising 38% in the past month and breaking new all-time highs in November. Expectations remain high as BTC price nears the $100,000 milestone, a level it is less than 5% away from reaching.

While the ADX suggests the trend is weakening, the NUPL indicates that BTC is far from the “Euphoria” zone, reducing the likelihood of strong corrections.

BTC’s Trend Is Losing Steam

Bitcoin ADX, currently at 17.4, reflects a weakening trend compared to its value of 26 just two days ago. The ADX, or Average Directional Index, measures the strength of a trend on a scale of 0 to 100, without indicating its direction. Values above 25 signify a strong trend, while values below 20 indicate weak or no trend.

BTC current ADX suggests that although it is still in an uptrend, the momentum driving it has significantly weakened, signaling potential consolidation or a slowdown in the bullish movement.

Bitcoin NUPL Is Still Far From Euphoria

BTC NUPL, or Net Unrealized Profit/Loss, currently stands at 0.61, placing it in the “Belief — Denial” zone since October 14. NUPL evaluates the ratio of unrealized profits to losses, providing insight into market sentiment.

This level indicates growing bullish confidence as holders remain in profit, reflecting optimism about further price increases.

While at 0.61, BTC’s NUPL is still below the 0

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Author: Tiago Amaral