Analysis suggests BTC poised for short-term rebound after overselling

CryptoQuant contributor and on-chain analyst XBTManager noted that Bitcoin may be nearing a bottom after falling about 30% from its peak of $70,000. However, he cautions that further mid- to short-term corrections are possible. XBTManager highlighted that the recent drop in Bitcoin's price is the steepest decline in the last eight months. The reduction in the oscillator for the percent change in futures open interest indicates the start of a correction wave, suggesting that the hype around open interest has subsided and the market may have reached a support level. Additionally, comparing the realized price over the last 90 days with the current market price suggests that the market may be approaching a retracement phase. With a standard deviation of -1.5, this indicates that the recent excessive selling could lead to a short-term rebound, according to the analyst.