FTX’showing no sign of vitality since the bankruptcy of Bitcoin (BTC) With the start of the new year, it had a rally of over 25%.
Although investors are happy with the rise, they are not sure whether it is a bull trap or actually the beginning of a new bull market.
On-chain analytics company seeking answers to this dilemma of investors glassnodepublished a report today.
Stating that it is not easy to determine the cycle changes, Glassnode said in his report that he examined 10 indicators to understand whether the Bitcoin bear market is over.
While four of these indicators indicate that the bear market is over, two indicators are still working and four indicators are not yet active.
bitcoin “Indicators giving bullish signals forRealized Cap HODL Waves indicator (LTH), Long Term to Short Term Profitability Indicator, Miner Revenues Increase and Bitcoin Cycle Change Detection Indicator” was stated.
According to these indicators, the bear market is over and the current bullish trend in BTC reflects the beginning of the bull market.
“…An indicator of increasing network demand is a healthy increase in miner revenue.
In this context, when the 90-day average of miner fee income rises above the 365-day average, it indicates a constructive increase, which is a bullish signal….”
“Glassnode”Relative Activity of Large and Small Assets indicator, Realized Profit and Loss indicator, aSOPR indicator, which is the Network Profitability Model, and investors’ confidence indicator on trends” He said that it has not taken action yet and that according to these indicators, the bear market is still ongoing.
“…small size transactions still significantly outnumber large transactions in this context.
If we consider together that small size transactions are high in bear markets and values above 1.2 for transactions are signs of recovery, the value is below 1.2 in both types of transactions.
Both small and large trades need to break above 1.20 for an overall recovery and bullish signal.
Also, another indicator that helps identify a bearish reversal is rising investor confidence.
However, investors still do not feel confident that the current rally is sustainable….”
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