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The market cap of cryptocurrencies in the last bull run accomplished a summation value of just under $1 trillion to keep things in outlook. Bitcoin has mislaid -26.3% and Ethereum -36.5% from peak-to-trough in the recent correction, influencing some to insinuate the bull market is over. My metrics suggest we are not even halfway through this bull cycle. It currently bears at around $1.5 trillion. From the chart beneath, this crypto bull market is still in the primal stages of the whole crypto space's market value is any guide.
Further, the image underneath shows Bitcoins that have been shifted over various time armatures. The Bitcoins that moved last innards a month or less, as exemplified by orange and red, show there lean to be three stages of picking up in each bull cycle. We just completed stage 1.
Besides, record levels of Bitcoin have been moving off exchanges. Many are becoming long-term 'HODLers' of Bitcoin as major foundations, banks, corporations, HNWIs, and even governments are arousing up to the massive utility and onboarding of blockchain technologies Bitcoin and Ethereum. This crypto bull market is far from prizewinning out.
Retail and institutional FOMO collaborative with a serious supply shortage due to Grayscale and PayPal's buying up Bitcoin should propel crypto appraisements beyond $10 trillion. Corporations are using BTC to downgrade the impact of slumping fiat from seemingly indefinite relieving easing.
Further, DeFi is extant used by Bitcoin to earn high succumbs. Anyone can also use BTC as an assurance to avoid having to sell BTC to tap its value through accompanying loans, a nice way to sidestep capital gains tax on their Bitcoin while unremitting to ride it higher. The amount of Bitcoin used for this aspiration strongly adds to its supply shortage.
Consequently, the embodiment I made in my keynote speech at the Geneva WealthTech event in 2017 of Bitcoin handing over $1,000,000 by the end of 2023 still bears. Based on S2F and other metrics, the recent bull market should run through to its lowest late 2021 before the dribble, once again, blows apart, black swans notwithstanding.
Several other Bitcoin oversold metrics have reset or bottomed, which, in prior corrections, often occurred near price lows in Bitcoin.
SOPA (spent output profit ratio) shows the figure of Bitcoin that are in profit. Whenever it immerses below the white line in the chart below, traders/investors are selling Bitcoin at a loss on average, which tends to curb selling.
The last two times SOPR dipped close to or below this white line was early September 2020 and mid-Jan-2021. Both were price lows for Bitcoin.