Bitcoin Investors Turn To ‘Smart DCA’ As Market Trades Below On-Chain Fair Value Of $117,700
The post Bitcoin Investors Turn To ‘Smart DCA’ As Market Trades Below On-Chain Fair Value Of $117,700 appeared on BitcoinEthereumNews.com.
Following a brief dip to $112,200, Bitcoin (BTC) has recovered slightly, trading around the $116,300 level at the time of writing. While concerns remain about BTC’s inability to decisively break the $120,000 resistance level, on-chain data suggests the asset may be in an accumulation phase – potentially gearing up for its next breakout toward a new all-time high (ATH). Bitcoin Currently In Accumulation Phase, Analyst Says According to a CryptoQuant Quicktake post by contributor BorisVest, a strategy called Smart Dollar-Cost Averaging (DCA) may help Bitcoin investors accumulate the asset more strategically and improve long-term performance. In his analysis, BorisVest noted that investors often struggle to time their entries into BTC. Many tend to buy during local tops due to fear of missing out (FOMO) and avoid entering the market during bottoms out of fear of further declines. Smart DCA offers a way to bypass these emotion-driven decisions. The strategy recommends accumulating BTC when its market price falls below the 1-week to 1-month realized price – a period during which short-term holders are often in loss, resulting in heightened sell-off. BorisVest explained: At these levels, short-term holders are usually underwater, leading to increased sell pressure. Smart DCA activates hourly purchases during such periods, helping to bring the BTC and USD cost basis closer together. Currently, the 1-week to 1-month realized price stands at approximately $117,700. As long as BTC trades below this level, Smart DCA continues to flash an accumulation signal. Once BTC climbs above this threshold, the strategy advises gradually selling previously accumulated coins. With Bitcoin now trading near $116,000, the analyst suggests that the asset is still in an accumulation phase – though it’s approaching the realized threshold. According to data from CoinGecko, BTC remains about 5.2% below its ATH of $122,838, recorded on July 14. Is BTC Unlikely…
Filed under: News - @ August 8, 2025 5:25 am