Completion of Bitcoin price correction – trend reversal

Morgan Creek Digital co-founder Anthony Pompliano says on-chain metrics indicateBitcoin's correction from a record high of $ 64,863 below $ 50,000 is nearing completion.

In the new episode of The Pomp Letter, the bitcoin defender used data from network analyst Will Clemente to explain his bullish stance on BTC amid a market correction.

Pompliano estimated the funding rates, which he said turned optimistic as the pullback liquidated over a million crypto trader accounts and got rid of greed and leverage.

«To link a perpetual swap contract toBitcoin spot price, funding rates are used. When most traders are long, it becomes profitable to go short, and vice versa. Now funding rates have changed in a negative direction, which means that it has become profitable for traders to open long positions. This should be considered a signal to buy.

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Pompliano also stressed that the coefficientprofit or loss (SOPR), an indicator that measures the net profit or loss of market participants, begins to approach the level at which buyers tend to come.

&#171;Historically, any drops below 1 werean excellent buying opportunity. During the January correction, SOPR was reset to just above 1, and the February SOPR correction went below 1. Currently, SOPR is approaching the full reset mark, which means that the price has either reached or is very close to reaching the lower limit of the current correction. ;.

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Another network metric that Pompliano is monitoring is the net position of miners, which currently indicates that miners are heavily accumulating bitcoins in the midst of the fall.

&#171;Hoarding by miners has clearly become a trendlast weeks. This indicates two things: miners expect higher prices, and they can also cover their CAPEX (capital expenditure) without dumping coins into the market.

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Pompliano added that miners can now borrow against their BTC assets using Decentralized Finance (DeFi) lending protocols, which will allow them to pay for day-to-day expenses.

Pompliano is also monitoring the growth in the number of Bitcoin wallets containing between 100 and 1,000 BTC, and he says that number has skyrocketed this year.

&#171;Pink line, addresses with 0.1–1 BTC,kept going up for a couple of years. However, the green line, addresses with a balance of 100–1000 BTC, surged upward during 2021. These wallets indicate that wealthy individuals and new organizations are entering the blockchain industry and occupying significant positions.

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In general, the expert is convinced that the indicators on the network hint at the next BTC reversal.

&#171;In conclusion, in the short and medium term, we are approaching the bottom of the current correction and are simply waiting for the end of profit taking and the transition of coins from weak hands to strong ones&#187;.

Where is it more profitable to buy bitcoin? TOP-5 exchanges

For a safe and convenient purchase of cryptocurrencies with a minimum commission, we have prepared a rating of the most reliable and popular cryptocurrency exchanges that support deposits and withdrawals of funds inrubles, hryvnias, dollars and euros.

The reliability of the site is primarily determinedtrading volume and number of users. By all key metrics, the largest cryptocurrency exchange in the world is Binance. Binance is also the most popular crypto exchange in Russia and the CIS, since it has the largest cash turnover and supports transfers in rubles from bank cardsVisa / MasterCardand payment systemsQIWI, Advcash, Payeer.

Especially for beginners, we have prepared a detailed guide: How to buy bitcoin on a crypto exchange for rubles?

Rating of cryptocurrency exchanges:

#	Exchange:	Website:	Rating:
1	Binance (Editor's Choice)	https://binance.com	9.7
2	Bybit	https://bybit.com	7.5
3	OKEx	https://okex.com	7.1
4	Exmo	https://exmo.me	6.9
5	Huobi	https://huobi.com	6.5

The criteria by which the rating is set in our rating of crypto-exchanges:

• Work reliability&#8212; stability of access to all functions of the platform, including uninterrupted trading, deposits and withdrawals of funds, as well as the duration of the market and daily trading volume.
• Commissions– the amount of commission for trading operations within the platform and withdrawal of assets.
• Feedback and support– we analyze user reviews and the quality of technical support.
• Convenience of the interface– we evaluate the functionality and intuitiveness of the interface, possible errors and failures when working with the exchange.
• Platform Features– availability of additional features &#8212; futures, options, staking, etc.
• final grade– the average number of points for all indicators determines the place in the ranking.

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