BTC, ETH and a few large-cap altcoins are redounding today, but data continues to point to an “overheated” market.
The downturn in Bitcoin’s (BTC) price over the last week has led to a “suboptimal” market structure, signaling an overheated market, according to analysts from crypto research firm K33 Research.
In the “Ahead of the Curve” report published on March 19, K33 head of research Anders Helseth and senior analyst Vetle Lunde said Bitcoin’s “slow bleed” and the steadily declining prices across the crypto market accompanied by high funding rates have exposed cryptocurrencies to “ leverage-induced amplified downside volatility.”
The analysts explained that Bitcoin has lost over 13% of its value over the past week after hitting an all-time high of $73,835 on March 14. Ether (ETH) and BNB Chain’s BNB (BNB) have also lost 17% and 1% of their value, respectively, per the report.
