Bitcoin’s Rally Continues Despite Struggling Below $60,000
Despite Bitcoin’s current struggle to break above the $60,000 mark, a recent report shared by ByBit with BeInCrypto suggests that the cryptocurrency’s rally may still have momentum. The report looks back at Bitcoin’s upward trend and predicts the possibility of continued price increases.
The 2024 Bitcoin Bull Market Cycle: Room for Growth
By analyzing Bitcoin’s past performance on a logarithmic scale, ByBit has identified distinct bullish phases, with the current upcycle starting in late 2022 and still ongoing. This cycle began when Bitcoin rebounded from $15,800 in November 2022, eventually reaching a peak of $73,000 in March 2024.
While this cycle has seen a significant increase from its lows, it pales in comparison to the 20x growth seen in the previous cycle. However, with an average cycle length of 956 days, there is still potential for about 350 days of growth ahead.
Bitcoin Whales Stake their Claim
Despite concerns about diminishing returns in each bull market cycle, Glassnode’s report indicates that Bitcoin whales are still committed to holding the asset. The Accumulated Trend Score (ATS) recently hit an all-time high of 1.0, signaling a trend towards asset accumulation among investors.
Moreover, long-term holders (LTH) have adjusted their strategies, opting to stay invested rather than sell near the peak. In the past three months alone, LTHs have accumulated over 374,000 BTC, stabilizing or even increasing their control over the network’s assets.
Institutional Interest Fuels Bitcoin Accumulation
According to IntotheBlock senior researcher Juan Pellicer, institutional investors are increasingly interested in accumulating Bitcoin, viewing it as an inflation hedge or diversification strategy. Their buying activity could offset selling pressure and boost the confidence of long-term holders in the market.
Overall, despite market fluctuations and concerns about diminishing returns, the data suggests that Bitcoin’s rally still has momentum, driven by both retail and institutional investors.