It has been another week of uncertain movements for the Bitcoin price, with the global financial markets moving to the whims of the ongoing tensions in the Middle East. The premier cryptocurrency has struggled to stay afloat after hitting a roadblock at the $69,000 resistance level earlier in the week. The latest on-chain data has shown that the price of Bitcoin might be reaching a bottom already.
Is BTC Accumulation Period About To Resume?
In an April 3rd post on the social media platform X, Alphractal co-founder and CEO Joao Wedson revealed that Bitcoin is starting to become less overvalued. This on-chain observation is based on the RVTS (Realized Value/Transaction Volume) Ratio, which tracks the relationship between market capitalization and the network’s adjusted economic value.
According to Wedson, a rise in this metric’s value could imply a rise in the flagship cryptocurrency’s realized value. At the same time, an increasing RVTS Ratio can also be a signal of a decline in activity or transaction volume on the Bitcoin network.
Highlighting data from Alphractal, the crypto founder shared that the RVTS Ratio just reached its highest level ever, potentially pointing to the lowest network utilization in the history of the premier cryptocurrency.
Source: @joao_wedson on X
Wedson wrote on X:
In previous cycles, these extremes appeared near cycle bottoms or low-participation zones, when volume collapses, and the network becomes “silent.” When the indicator rises, adjusted economic volume declines, network usage weakens, and the denominator collapses, a pattern consistently seen around major cycle bottoms (2012, 2015, 2019, 2022) and local bottoms within broader structures.
According to the Alphractal CEO, this record level of the RVTS Ratio indicates less overvaluation and more structural apathy in a Bitcoin market increasingly being steered by liquidity and derivatives. From a historical perspective, this signal often precedes periods of accumulation and revaluation.
In essence, this record-high level of the RVTS Ratio could be the bright spark of optimism the Bitcoin price needs to start its turnaround. Conversations have heightened around the market leader’s potential bottom, as it continues to oscillate within the $65,000 – $70,000 consolidation range.
Bitcoin Price At A Glance
As of this writing, the price of BTC stands at around $66,880, reflecting no significant change in the past 24 hours. While the market leader is down from its weekly high of over $69,000, it is still in a better place (nearly 2% up) than it was seven days ago.
The price of BTC on the daily timeframe | Source: BTC chart on TradingView
Featured image from iStock, chart from TradingView
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