Bitcoin’s market is cooling, but why the $100K support remains technical analysis and the MVRV pricing bands revealed the power of the $102.5k support level.

Over the past 24 hours, Bitcoin has dipped to $104k twice, and was climbing higher at the time of writing, trading at $104.6k.

This fulfilled the short-term volatility idea laid out earlier. Pressure from institutional short bets seemed to be pushing BTC lower, a clue for this coming from the price difference between spot and perpetual futures.the weekly Adler Insights post, crypto analyst Axel Adler Jr brought up the Bitcoin Heat Macro Phase. The metric, also called Heat Phase Index, combines four key signals to understand the market’s “heating.”

The four signals are the normalized MVRV Z-score, the aSOPR 14-day simple moving average, the LTH-STH cost basis, and the 10-day moving average of the ETF flow in dollars.

A peak rating of 0.45 came about on the 22nd of May, when Bitcoin made its high at $111k. The index cooled to 0.39 by the 5th of June, when the price saw an accumulation phase around $101k.

At the time of writing, the value of 0.41 indicated demand resumption and normal levels of market activity. If the Heat index falls below 0.39 in the coming days, it would be a sign of an extended cooling