Bitcoin (BTC)Crypto News

Bitcoin Holders Show Rapid New Accumulation in This Bear Bottom Signal for the First Time?

On-chain data shows that Bitcoin-Holders have been conducting rapid new accumulation lately which could result in a bottoming for the cycle.

Bitcoin 1w-1m Realized Cap UTXO ages have risen sharply

As an analyst pointed out in a CryptoQuant post, the realized BTC cap percentage, which was last shifted between 1 week and 1 month, showed a fast upward trend for the first time in this bear.

The “realized cap” is a bitcoin cap model that values ​​each coin in circulation supply at the price it was last moved at. The metric then calculates the “true value” of BTC by summing up all of these individual coin values.

This is different from the normal market capitalization, where every coin in circulation has the same value; the current bitcoin rate.

The “Realized Cap – UTXO Age Groups” is an indicator that gives us the distribution of the realized cap of each age group in the market.

These age groups indicate ranges between which UTXOs (or simply coins) falling within that age group were last moved.

The relevant age group here is the 1w-1m group, which includes all UTXOs last moved within 1 week to 1 month.

Here is a chart showing how the percentage of Realized Cap contributed by this age group has changed over the years:

Bitcoin Holders Show Rapid New Accumulation in This Bear Bottom Signal for the First Time?, Crypto Trading News

It looks like the value of the metric has increased a lot over the past few weeks | Source: CryptoQuant

As you can see in the chart above, the realized upper limit of the age group of 1W-1M Bitcoin UTXO has been witnessing a rapid upward trend lately.

The older end of this range, a month ago, is near when the crash due to the FTX collapse took place.

The rising value of the indicator thus suggests that investors have started a new accumulation at the lows after this crash.

This is the first time in this bitcoinbear marketthat such a rapid new accumulation has taken place.

The chart shows that such rises have historically coincided with cyclical price bottoms. Another interesting thing is that there have been 1358 days between these spikes in the metric over the last two cycles.

The current surge came 1444 days after the last one, which is a similar length to the gap before it. If there really is a pattern here, then the Bitcoin bottom could be very close, if not already there.

BTC price

At the time of writing, Bitcoin’s price is hovering around $16.8k, down 1% over the past week.

Bitcoin Holders Show Rapid New Accumulation in This Bear Bottom Signal for the First Time?, Crypto Trading News

BTC crashes | Source: BTCUSD on TradingView Featured image by Kanchanara on Unsplash.com, charts by TradingView.com, CryptoQuant.com

Source: Crypto News Deutsch

Related Articles

Leave a Reply

Your email address will not be published. Required fields are marked *

Back to top button