Despite Bitcoin’s (BTC) price increase in the last 24 hours, key market indicators are flashing caution, suggesting that the coin may face significant hurdles in reaching the $70,000 mark. This development is contrary to the expectations investors have about the coin this month.

Though Bitcoin’s price has surpassed the $63,000 level again, this analysis discloses the reasons why investors should take these warning signs seriously.  

On-Chain Metrics Flash Warning Signs for Bitcoin

One key metric supporting a Bitcoin price retracement is the Network Value to Transactions (NVT) ratio. The NVT ratio shows if the market cap is growing faster than a cryptocurrency’s transaction volume.

When the NVT ratio decreases, transaction volume is growing higher than the market cap. In most cases, this is bullish for the price. On the other hand, a rising NVTV ratio indicates that the Bitcoin network is overhead as the market cap outpaces the volume.

As of this writing, Glassnode data shows that the ratio has increased recently. This suggests potential overvaluation, indicating a possible short-term Bitcoin price correction.

Read more: 5 Best Platforms To Buy Bitcoin Mining Stocks After 2024 Halving

This outlook is enhanced by the Short-Term Holder-Spent Output Profit Ratio (STH-SOPR). This metric measures the behavior of short-term investors, indicating whether they are selling at a profit or a loss.

When the STH-SOPR is below 1, investors are selling at a loss. On the other hand, when the metric is below 1, investors are selling at a profit. However, as of this writing, the ratio is exactly 1, suggesting that the volume sold at a loss and in profit matched one another.

Considering the impact on Bitcoin’s price, this development implies that the coin could keep swinging sideways. However, a potential Bitcoin rally toward $70,000 could be implausible.

BTC Price Prediction: Coin Could Go Below $60,000

On the daily chart, Bitcoin’s price is currently $62,856, an increase from 24 hours ago. However, the Money Flow Index (MFI) shows that capital flowing into the cryptocurrency has decreased.

The MFI is a technical indicator that uses price and volume to check the level of buying and selling pressure in the market. When the MFI increases, more liquidity is flowing, and the price can increase.

Since the indicator’s reading dropped,  it implies that investors are cashing out on recent gains, which could halt the price increase. If this remains the same, BTC’s price might decrease to $59,978.

Read more: 7 Best Crypto Exchanges in the USA for Bitcoin (BTC) Trading

However, if investors stop distributing and start accumulating in large numbers, the coin might appreciate toward $66,527 and eventually $70,000. 

Decentralized Physical Infrastructure Networks (DePin) are transforming the tech by enabling decentralized projects in real-world infrastructure.

Here’s the latest in the DePin sector: Bitget Wallet integrated the AI data protocol Grass, InFlux Technologies and Akash teamed up to launch a Web3 advocacy group, and Chirp is currently developing a new play-to-earn (P2E) game.

Bitget Wallet Partners with Grass

According to an October 3 press release, Bitget Wallet, a Web3 non-custodial wallet that’s grown quickly thanks to TON integration, has announced a new partnership. Bitget Wallet is integrating with Grass, an AI data protocol that allows users to trade unused bandwidth for token rewards, which is then used to train AI models.

Read more: What Is DePIN (Decentralized Physical Infrastructure Networks)?

Grass is now live as a decentralized application (DApp) on Bitget Wallet, designed to simplify the user experience. This is crucial for Grass, as it aims to collect vast amounts of data to train future AI projects. Alvin Kan, COO of Bitget Wallet, highlighted the collaboration’s benefits, emphasizing the streamlined approach for users and the potential for AI advancements.

“Our goal at Bitget Wallet is to offer our users simple yet powerful ways to take part in the Web3 ecosystem. Grass is a great example of how users can earn rewards by doing something easy while also contributing to the future of AI. This integration demonstrates our commitment to making Web3 accessible and beneficial for everyone,” said Kan.

InFlux and Akash Launch a Web3 Advocacy Group

Another announcement from InFlux Technologies (Flux) and growing cryptocurrency network Akash has shown a different kind of potential. These two companies have not come together for a physical or digital infrastructure mission but rather a regulatory one. According to their press release, Flux and Akash Network are launching a Web3/DePin advocacy group.

Both companies have similar backgrounds: Akash calls itself “Airbnb for data centers,” while Flux “bridges the infrastructure gap” with decentralized cloud solutions. Their new advocacy group will focus on US regulation, engaging with lawmakers and government agencies.

However, these goals are not the only focus. Flux and Akash have expressed a desire to build education and awareness for the DePin ecosystem and bring other firms into their alliance. In short, the new group wants to build a framework for future collaboration in the growing DePin scene and bring the whole space forward.

Chirp Teases New P2E Game

Chirp, a DePin network and Internet of Things ecosystem, has announced the development of a new play-to-earn game. The game will utilize the Sui network and offer users the opportunity to earn CHIRP rewards.

The project invites players to “focus on scanning and detecting wireless signals,” but has not revealed specific details. Chirp stated that the game will integrate with its built-in wallet, allowing users to claim and earn Chirp tokens. However, beyond these highlights, few additional details about the game have been made publicly available.

Read more: Tap-to-Earn: What to Know About the Crypto GameFi Trend

In short, the DePin ecosystem is full of new activity in early October. The word of the day is apparently “partnership,” and new collaborative projects are declaring ambitious goals. The DePin ecosystem may not be as well-established as the other sectors of Web3, but new plans like these will help push it to the future.

XRP’s value has dropped by 17% over the past week, fueled by the broader market downturn and further impacted by the US SEC’s decision to file an appeal against Ripple.

Although buying pressure has weakened significantly over the past few days, traders in the XRP derivatives market remain optimistic.  This analysis explores whether or not the bets of these traders will produce favorable results in the near term. 

Ripple Long Traders Double Down

Despite the broader market downturn and the ongoing legal battle between the US SEC and Ripple, XRP derivatives traders maintain a bullish outlook. Long positions continue to dominate, reflecting investor optimism about XRP’s price potential.

This sentiment is supported by the token’s funding rate, which has consistently stayed positive. As of now, the funding rate is at 0.004%, indicating sustained confidence in XRP’s future growth.

Read more: XRP ETF Explained: What It Is and How It Works

A positive funding rate suggests a higher demand for long positions than short ones in the market. It occurs when traders are optimistic about an asset’s future price increases and, as a result, are willing to pay a premium to maintain their long positions.

However, XRP spot traders do not share this stance. They continue to sell their holdings amid fear of a significant price decline once the hearing of the US SEC appeal commences. The token’s negative Chaikin Money Flow (CMF) confirms the strengthening selling pressure.

As of this writing, XRP’s CMF is below the zero line at -0.03. This indicator measures money flows into and out of an asset. When its value is below zero, selling pressure is high as traders remove liquidity from the market to prevent further investment losses. 

XRP Price Prediction: Token Trades Below Key Moving Averages

XRP is currently trading below its 20-day exponential moving average (EMA) and its 50-day simple moving average (SMA). The 20-day EMA is a short-term indicator that quickly responds to price changes by averaging an asset’s closing price over the past 20 days. In contrast, the 50-day SMA provides a longer-term perspective by tracking the average closing price over 50 days.

These moving averages are key indicators for traders, often marking support and resistance levels. When an asset’s price drops below the 20-day EMA, it suggests a potential shift in momentum, possibly leading to further declines. A drop below the 50-day SMA typically confirms a bearish trend.

Read more: Ripple (XRP) Price Prediction 2024/2025/2030

XRP is facing a potential 13% decline, which could see it drop to $0.46 if it continues to distance itself from these crucial averages. However, if sentiment in the spot market turns positive and demand rises, XRP’s price could rally by 25%, pushing it to $0.66.