On-chain data shows that the Bitcoin acceptor’s buy/sell ratio has experienced a significant raise on a particular cryptocurrency exchange. Here’s how this could affect the price of the most essential cryptocurrency.
Bitcoin investors buying the dip on this exchange
An outstanding cryptocurrency expert, Ali Martinez, took up the X platform reveal that investors on a given exchange are taking advantage of the recent decline in the price of Bitcoin. The relevant indicator here is the taker’s bid/ask ratio, which measures the ratio between the taker’s buying volume and the taker’s selling volume.
Typically, when the value of this indicator is greater than 1, it means that the buying volume by the taker is higher than the selling volume by the taker on a given exchange. In this case, more traders are willing to buy the coins at a higher price on the trading platform.
Conversely, when a taker’s bid/ask ratio is below 1, it means that more sellers are willing to sell the coins at a lower price, indicating that the selling volume is greater than the purchasing volume.
Bitcoin taker buy/sell ratio | Source: Ali_charts/X
According to CryptoQuant data, the Bitcoin buy/sell ratio on the HTX Exchange (formerly known as Huobi) recently increased to over 545 on Saturday. This suggests a significant raise in buying pressure and a change in investor sentiment.
Martinez noted in his post on X that this raise in bullish pressure could be a signal of an impending upward move in Bitcoin prices. These high buying volumes on the HTX exchange are due to the recent drop in the value of BTC to $65,000.
However, it is worth noting that it is average Bitcoin Taker’s buy/sell ratio on all stock exchanges it is still below 1. At the time of writing this text, the value of this indicator is approximately 0.8.
The average BTC mining cost increases above $86,500
The latest data shows that the average cost of mining Bitcoin has increased to $86,668. This figure reflects the cumulative expenses associated with producing one BTC, including electricity, equipment, and operational costs.
As Ali Martinez pointed out in: write to X, any significant raise in the average BTC mining cost is usually accompanied by a corresponding raise in the coin’s market value. In this historical context, the latest raise in average mining costs suggests that a rise in Bitcoin prices may be on the horizon.
#Bitcointhe average mining cost is currently $86,668.
And guess what? Historically, $BTC always increases above the average mining cost! pic.twitter.com/S3UkwgvS3N
— Ali (@ali_charts) June 15, 2024
As of this writing, Bitcoin’s price is still hovering around the $66,000 level, with no significant changes over the past day. According to CoinGecko data, the most essential cryptocurrency fell by almost 5% last week.
The price of BTC on the daily timeframe | Source: BTCUSDT chart on TradingView
Featured image from Barron’s, chart from TradingView
