Bitcoin’s Sideways Slump May Not Be Near Finishing Yet
Data from Glassnode suggests that the current Bitcoin boring price action may very well go on for another six months. Glassnode has compared the current lack of BTC volatility to similar slumps during previous cycles using the “price performance since ATH” metric. The chart provided in the report shows how the current cycle has spent 842 days since the April 2021 peak, with the price down by 54% in this period. However, this recovery is better than the last two cycles. Glassnode suggests that the current pattern indicates a period of boredom ahead, as Bitcoin has been stuck in consolidation and historical lows of volatility. As of now, Bitcoin is trading around $29,400, with a 2% increase in the last week.
Main Breakdown of Key Points:
– Glassnode compared the current lack of BTC volatility to similar slumps during previous cycles.
– The “price performance since ATH” metric was used to stack the cycles against each other.
– The current cycle has spent 842 days since the April 2021 peak, with the price down by 54% in this period.
– The recovery in the current cycle is better than the last two cycles.
– Glassnode suggests that the current pattern indicates a period of boredom ahead.
Hot Take:
The current sideways slump of Bitcoin may continue for another six months, according to data from Glassnode. The comparison to previous cycles shows that the recovery in the current cycle has been better so far, but the price has been stuck in a sideways trend. This indicates a period of potential boredom ahead for crypto investors. As Bitcoin remains in consolidation with historical lows of volatility, investors may have to wait longer for a breakout. At the time of writing, Bitcoin is trading around $29,400, showing a slight increase in the last week.
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