Bitcoin is back in the early bull market area: Glassnode

Bitcoin is back in the early bull market area: Glassnode

While Bitcoin returns to a 9-month high of over $ 28,000, a growing number of signs on the chain shows that the asset may enter an early bull market.

On Monday, the blockchain analysis company Glassnode said that the Bitcoin market "apparently put on a gear change" in the middle of turbulence in the traditional banking system.

get back swing

according to the company weekly report reached the monthly transaction from Bitcoin this week 309.5,000/day-the highest level since Bitcoin in April 2021 in April 2021 $ 64,000. More transactions are made on less than 12.2 % of all days.

In the meantime, over 122,000 new entities (a best estimate for unique new users) have been published in the chain every day, which is more than almost 90 % of all other days. Most of these days concentrated on Bitcoin's price level at the end of 2017 and the Bullenlauf 2020/2021.

"Since more and more people within the Bitcoin economy are interacting and doing business, this is typically associated with periods of increasing acceptance, network effects and investor activity," wrote Glassnode. Rising activities also lead to network overloads and fees, which Glassnode describes as "a common forerunner for more constructive markets".

While high network fees can make small transactions more expensive, they are also a blessing for miners who receive these fees for securing the blockchain. After a series of insolvencies the industry plagued last year, the miner revenue has returned to the highest level since June 2022 ($ 22.6 million/day)-another encouraging sign that Bitcoin is back in the bull area.

back to the profit

Glassnode also dealt with the MVRV ratio (market-value-to-realized-value) from Bitcoin-a measure of the unrealized profit multiplier that is included in Coin offer-which has risen to 1.36. After the ratio had exceeded $ 27,000 this week, the relationship returned to its "neutral zone", which means that the prices "are no longer severe compared to the average market costs on the chain".

Although more coins are in profit, most of the Hodler still don't seem to sell their stock. The proportion of "hot coins" coins that were traded within the last 7 days - remains "near cycle depths".

"Only a few long-term investors seem to be motivated to take profits with this rally, which signals a remarkable strength and reflects the beliefs that prevail on the important role of Bitcoin in the future of the global financial system," concluded Glassnode.

The global financial system began to show cracks this month after the collapse of the Silicon Valley Bank (SVB)-the second largest bank collapse in the history of the United States. Since then, the Federal Reserve has taken several measures Return lock Cutery with liquidity that have been Bullisch For Bitcoin and Gold's prices.

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