$BTC
for the first time since December 2023, it is again entering the "Sale" zone according to the Rainbow indicator.
This refers to the price rainbow - a model that divides the long-term price corridor of #BTC into colored zones of sentiment: from overheating to accumulation. Placing the price on a logarithmic graph. Currently, the price has dropped into the lower part of the corridor, which #Coinglass designates as "Fire sale", the very "Sale".
This is a statistically rare state when the market values BTC significantly lower than its typical long-term corridor. Usually, such moments coincide with phases dominated by fear, fatigue, and the desire to simply close the position just to avoid looking at the screen. In a word, like now.
The key point is that this is a signal of strength relative to the long-term corridor, not an exact reversal point. In this zone, the price can remain for quite a long time. Overall, this signal is characteristic of a bear market, if we are talking about the price entering this zone from top to bottom. The problem is that in this cycle, the price has not yet visited the overheating, bubble zones.
On the other hand, in the previous cycle, the price barely touched this zone, and there is an overall trend that with each cycle, the bulls' achievements on the rainbow are becoming more pronounced.