Bitcoin at US$87,000: Tactical Accumulation Window for Investors

Source: Exame
Original Title: At $87,000, Bitcoin Has a ‘Tactical Accumulation Window’
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This Tuesday, bitcoin is trading around $87,000 as it continues to signal a recovery after dropping to $80,000 last week. Experts point out that the world’s largest cryptocurrency may have already found a price bottom and could see a more effective short-term recovery. In this sense, there is a “tactical accumulation window” for investors.

At the moment, bitcoin is priced at $87,178, up 1.4% in the last 24 hours. Despite this, the cryptocurrency is still down 21% over the past thirty days.

The Fear and Greed Index, used to gauge sentiment in the crypto market, still signals “extreme fear” at 23 points. In recent weeks, the metric, which ranges from 0 to 100, hit one of its lowest levels at 15 points.

Possible End of the Decline

Bitcoin’s downturn may have come to an end. After signaling a recovery for a few days, the world’s largest cryptocurrency may be experiencing a “seller exhaustion” in the short term, according to research analysts. A recent report pointed to opportunities that investors may have with bitcoin at this time.

“After the strong capitulation signals from the previous week, indicating a possible formation of short-term bottoms, we saw a halt to four consecutive weeks of outflows in US ETFs, as well as a stabilization in sales from long-term investors,” it highlighted.

“This scenario suggests exhaustion of selling pressure in the short term, though there is still no clear shift to buying flows. Prices may remain sideways for a few days or weeks, opening a tactical window for gradual accumulation focused on the next upward move,” it added.

Positioning Recommendations

“In terms of positioning, it makes sense to favor high-liquidity and high-quality assets, while maintaining caution with higher-beta and lower-capitalization cryptoassets, which may remain quite volatile for now,” the analyst concluded.