Bitcoin’s value has been highly fluctuated in recent months, and the current decline in Bitcoin accumulation trend is a warning to the traders.

According to the reports, in 2024, Bitcoin reached its highest level of $73,000, largely due to the introduction of exchange-traded funds.

 However, this crypto currency has also experienced more volatility this year.

Ali Martinez, a well-known crypto analyst, believes that Bitcoin is seeing a decrease in participation, based on the downward accumulation trend score.

The accumulation trend score, which is currently close to zero, indicates whether market participants are accumulating or distributing Bitcoin. A score closer to one indicates accumulation, while a score closer to zero indicates distribution.

When the score reaches zero, it means there is no purchase and distribution is occurring. Bitcoin typically increases with rising accumulation when it hits the bottom in a downward cycle and investors buy the dip. However, if the bearish market cycle continues, accumulation may decrease due to uncertainty.