Bitcoin's recent selloff brought it within 10% of its realized price — a line that has marked the bottoming zone in Bitcoin's previous bear markets.
Bitcoin (BTC) is fast approaching a buying level that analysts describe as a top “investment opportunity.”
Data from onchain analytics platform CryptoQuant shows that BTC/USD is less than 10% away from its aggregate realized price.
Realized price is the average price at which the BTC supply last moved onchain, and currently sits at around $53,300. BTC/USD has not traded below it since the end of its last bear market in 2022, according to data from TradingView.
“Looking back, every recurring bear market has brought a bleak period when Bitcoin fell below its realized price, and that has been the best Bitcoin investment opportunity,” CryptoQuant contributor Crypto Sunmoon commented.
BTC/USD one-week chart with realized price data. Source: Cointelegraph/TradingView
Realized price comes in various iterations, reflecting the aggregate cost basis of various Bitcoin investor cohorts.
Market participants, however, are eagerly awaiting the return of the broader cost basis, given its role as a potential bear-market bottom marker.
“If that moment comes again, where price falls below the realized price, invest for the new cycle,” CryptoQuant suggested.
In recent months, PlanB, the pseudonymous creator of the Stock-to-Flow BTC price models, has listed a drop below the realized price as one of two key conditions that must be met to secure a trend reversal.
Related: Bitcoin price risks drop below $58K as US dollar hits 40-year high against yen
The other, closing candles below the 200-week moving average (WMA), began several weeks ago.
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