Bitcoin

The ongoing Bitcoin (BTC) price consolidation over the past few weeks appears to be a phase of extremely low volatility, indicating a market characterized by boredom and sideways movement, leaving investors in a perpetual state of anticipation. While the BTC price continues to fluctuate in the range of $29,000 to $30,000, several on-chain indicators have signaled excessive indifference and exhaustion.Let&#39;s delve into some of these on-chain indicators that highlight the lack of sufficient momentum for further upward price movement:Bitcoin Limited Inflows The Realized Cap, a significant tool in on-chain analysis, reflects the total capital inflow since inception. The size and rate of change of the Realized Cap offer important insights, showing that Bitcoin has witnessed an inflow of over $16 billion (&#43;4.1%) this year.However, compared to the sharp surges seen during the 2021-22 bull run, the current ascent seems relatively gradual. While this does indicate capital influx, the pace is relatively sluggish.What&#39;s Next for BTC Price? Bitcoin Volatility Compression Bitcoin Bollinger Bands illustrate that Bitcoin&#39;s volatility has compressed to historical lows. The upper and lower Bollinger Bands are separated by a mere 2.9%, a level of low volatility compression observed only twice before, in 2016 and January 2023.Understanding Volatility Compression (Investor Exhaustion) Another way to grasp the reduction in volatility (reflecting investor exhaustion) is by examining how investors are utilizing their funds. In this context, Realized Value comes into play as a metric:High Volatility: During periods of heightened volatility, investors generally spend coins acquired at significantly higher (resulting in losses) or lower (resulting in gains) prices compared to the current spot exchange rate.Low Volatility and Exhaustion: During low volatility periods (indicating investor exhaustion), most coins being transacted on-chain were likely acquired at prices very close to the current spot rate. This implies minimal realized profit or loss.The Sell-Side Risk Ratio serves as a helpful tool to track this exhaustion. This ratio compares the absolute value of realized profit or loss to the realized cap. For short-term holders (STHs), this ratio is currently at an all-time low.This indicates that most investors who intended to take profit or loss within this price range have already done so. Consequently, the market might require a catalyst to encourage new spending, potentially hinting at upcoming volatility.Long-Term Bitcoin Holders The quantity of Bitcoin held by Long-Term Holders continues to rise, reaching a record high of 14.6 million BTC. Conversely, the supply held by Short-Term Holders has dropped to a multi-year low of 2.56 million BTC.In summary, this trend suggests that Bitcoin investors maintain strong conviction, as few are opting to sell their assets.https://kriptoparahaber.com/btc-fiyati-icin-sirada-ne-var/

Bitcoin On-Chain Indicators Reach All-Time Lows; What's Next for BTC Price?

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