Bitcoin plummets, but the S2F model shows a divergence, indicating a bargain hunting opportunity

Wu said blockchain learned that according to the CryptoQuant-S2F Reversion data, as Bitcoin plummeted, the index plummeted and regressed to 1.827126. The S2F Reversion index measures the relative difference between market prices and the ratio of stock to retention. Compared with the decline in Bitcoin, the index fell significantly more. This reflects the divergence between the actual market price and the prediction of the S2F model. Further inference is that this plunge may be related to negative events such as Turkey's ban on cryptocurrencies and the Coinbase founding team's sell-off. Previously, the S2F model had accurately predicted the price of Bitcoin many times and predicted that Bitcoin would reach around 100,000. Perhaps the divergence of the S2F Reversion indicator represents a reliable buying opportunity at present.