As the number of new investors buying Bitcoin (BTC) increases, the expectation that the market will rise is also rising.
The data shared by the analysis of on-chain analysis platform CryptoQuant included an increase in the number of short-term investors buying Bitcoin. Rate of those who invested between 1 day and 1 week increased to 10.62% The analyst noted that this buying pressure brought with it further upward expectations.
Current data It is similar to the bull start period in October 2020. The analyst reminded that our current situation is a critical point:
This increase in the proportion of short-term investors means that we are at a critical point where we may see significant price movements. Personally, I think we are in a similar position to the beginning of the bull rally in October 20. As new capital inflows continue and prices rise, overheating will be the default for futures and on-chain data.
Despite all this positive picture, especially the futures data indicate that the current data indicates overheating, Around 20%-30% It also reminded us that we could experience a deep correction. While the analyst urges investors to be careful against such a correction, there will be a 1 drop for Bitcoin after the correction.$20K price target gave:
Of course, a 20-30% correction could occur at any time due to overheating, but Bitcoin price is likely to rise to around $120k after the correction, so it is important to be bullish when a temporary correction occurs rather than considering a downside bet due to overheating.