The correction continues, today we will analyse for ourselves what the indicators on glassnode are saying.
The price of Bitcoin alone, after reaching a new ATH has fallen by ~40%. Is this the end of the declines?
After a massive drop the price was heavily overbought where a huge amount of money was thrown in, will the market makers want to take liquidity away from the taper at 42k? We’ll see 😉
On the day of writing the analysis the Fear & Greed index is below the 40 level most of the time i.e. the market is in fear.
The number of active addresses since the May correction is growing all the time.
Percentage indicator of BTC outflows/inflows to the exchanges. As we can see, after determining the local LOW we have a rebound and BTC started to arrive on exchanges, this is not a good sign.
Further confirmation of transfers to exchanges can be seen in this chart, with more bitcoin coming in than going down over the last few days.
On this chart we can see that the 2-3 year addresses have increased activity, what can this mean? Execution of profits because they are in good shape
Profit taking to reduce risk.
Hash Rate aligned us TOP with May, the bigger the Hash Rate the better, the more computing power, the less likely the hack.
SOPR measures the profit or loss of each individual trade. It shows whether the market is in profit or loss (above 1 in profit, below in loss). The market is currently in a loss, which can also indicate a correction is about to end.
The ASOL indicator tells us how long a transaction has existed and draws an average from that. Currently, people who have held their BTC on their wallet for 112 days are selling their BTC (remember this is an average).
Meanwhile, there are now only 73% of people in profit on BTC.
Bitcoin according to S2F Deflection is still undervalued.
The fair price of BTC according to S2F at this point is $108k, we have a pretty big discrepancy.
As we can see in this chart there was a huge profit taking after the new ATH was broken out.
Addresses with more than 10k btc on the wallet get to us all the time.
On the other hand wallets with 10 btc are decreasing, could it be that larger wallets are buying back btc?
Is this the end of the bull market? It seems to us that while anything is possible, remember that the whales have a plan to buy BTC for several years, they will not sell it tomorrow or the day after tomorrow, but for 5 years. It is a multi-year game plan.
Be ready for any scenario, read coffee and goodnight posts with understanding. May bull market be with you!