BlockBeats news, on March 2, on-chain analyst Murphy stated that Bitcoin’s “historical average cost basis” is highly effective in gauging market sentiment. When the price approaches the historical average cost basis of approximately $64,500, it reaches the limit of market psychological tolerance. Recently, Bitcoin’s price repeatedly dipped below this cost level between February 23–24 and February 27–28, only to rebound afterward, indicating strong bullish resistance at this sensitive level.
Concerns over the U.S.-Iran geopolitical conflict have now been priced in; attention will shift to the conflict’s scope, duration, and its impact on oil prices. This weekend, it was observed that without significant participation from institutional players and market makers, short-selling pressure was insufficient to push BTC rapidly below $60,000 to $50,000. The historical average cost basis of $64,500 will be reconfirmed following the opening of U.S. equities markets today.