According to experts, bitcoin is now currently trading right at its 200-week moving average after briefly dipping below the metric. The 200-week moving average has historically functioned as a solid level of support for bitcoin as shown below:
As shown above, downside wicks below the 200-week moving average represent peak financial opportunity for long-term BTC investors. These downturns however also represent extreme fear and maximum pessimism in market sentiment.
Another metric, the market-value-to-realized-value ratio (MVRV) is also used to determine optimal accumulation phase. When this score is below 1, it coincides with bearish market conditions and an opportunity to buy. This ratio also suggests that bitcoin will see an eventual pullback in the short to medium term.