The Bitcoin Prize has been a pleasure to guard in recent weeks and bounced strongly from its $ 74,000 low to recover over $ 100,000 levels again. Interestingly, the latest information on the chain indicates that the main Cryptocurrency can prepare to recover its current price on all the time and perhaps go into a new bull drive.
Bitcoin -Price to follow Gold’s footsteps
In a Quicktake post on the Cryptoquant platform, on chain analyst Ibrahim Cosar Post A data focused insight into the potential course for the Bitcoin Prize in the coming months. The relevant metric here is the growth rate difference (market cap vs. realized cap), which looks at the difference in the growth rate between an asset market value and realized capitalization.
According to Cosar, growth speedsmetric helps to evaluate investors’ behavior (whether the market is too pessimistic or optimistic) and the various market cycles. The indicator also helps to identify the relationship between real growth and price development, while assessing the sustainability of price development.
Source: CryptoQuant
As can be seen from the diagram above, the positive area (denoted by the green color) usually signals haussearted market conditions. It suggests that market value is growing faster than the realized ceiling, with more investors into the market and take new positions.
The negative (red) zone correlates with baisse -like market conditions and large price corrections, as more investors upload their assets. As prices fall and increased loss realization, investors’ confidence in the market begins to decrease.
The marked chart shows that the Bitcoin Prize has just witnessed a transition from Red (Bear Market) to Green (Bull Market) in recent days. Cosar believes that this change means a potential parabolic increase in the price of BTC – seen in the gold price in recent months.
Bull Cycle can still be at: Cryptoquant CEO
Two months ago, the Cryptoquant founder Ki Young posted that the price of BTC had reached its peak and that the bull bike was over. However, after the impressive performance of the Bitcoin Prize in recent weeks, the on-chain analysis species has gone back to its declaration.
According to, after all, the Bitcoin market has become relatively more versatile and seems to move away from the traditional bicycle theory. Crypto CEO referred For the latest cycles controlled by the old whales, miners and new retail investors, while exchange traded funds (ETF) issuers, strategy (MRST) and institutional investors are the most important players in the current one.
However, the Bitcoin market is still sluggish while absorbing new liquidity, although the latest price measure is extremely hooked. Therefore, the Crypto founder suggested to wait for a clearer signal before taking new market positions.
From this writing, the flagship Cryptocurrency is valued at just over $ 103,000, which reflects no significant movement over the past 24 hours.
The price of BTC on the daily timeframe | Source: BTCUSDT chart on TradingView
Image from iStock, chart from tradingview
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