Bear Market Who? Data Show High Conviction on BTC and ETH

This is the strangest bear market ever. Even if the death spiral and the Chapter 11 bankruptcy that started it came out of nowhere, most people seemed prepared for it. Markets must be in a state of fear, uncertainty and doubt. That certainly isn’t the case for the two major cryptocurrencies.While each situation may be different, both markets show signs of unshakable conviction. RELATED: 62% of addresses hold Bitcoin for over a year The long-time holder of Bitcoin and Ethereum seems to be smiling at the face of a bear market. In the latest edition of The Wolf Den, the author uses data from his Glassnode and his Intotheblock to show how this is true. Bear Market Vs. “On-chain evidence from Glassnode suggests there was no significant reduction in long-term believer convictions,” the newsletter states. To prove this, The Wolf Den looks at the “dormant index”. “A number that tracks the average age of all Bitcoins in motion as determined by when they were mined. As an attentive reader might suspect, the coins “moving around the market” are very young. In fact, their age is “the lowest in years. Dormant values ​​are very low.” The newsletter cites Glassnode’s analysis. So focus on the big picture and everything will look where it should be. Healthy Habits During a Bear Market. Cexio | BTC Price Chart for September 2, 2022 Source: In this section of’s upcoming BTC/USD Ethereum merger, The Wolf Den used data from his IntoTheBlock. Before going into it, the author clarified the sequence of events that make up the mythical “merge”. First, on September 6th, there will be a “Bellatrix upgrade on the Beacon chain”. Then, between September 10th and 20th, “the official transition from Proof-of-Work (PoW) to Proof-of-Stake (PoS) will take place.” The Ethereum Foundation estimates that the merger will take place on September 15th. To assess the state of his Ethereum network in this bear market, The Wolf Den investigated “netflow to centralized exchanges”. Overall, more ETH is leaving exchanges than entering them, which is bullish. This tends to mean that people have no intention of selling their assets. But with mergers looming and the bear market continuing, it could mean something else. On the one hand, people may be “bull on the merger because users believe the merger will be successful and are piling up ETH for potential price action”. You may also be anticipating a possible Work hard fork. In that case, “All ETH held in the wallet can claim ETHW at a 1:1 ratio. Traders may be prepared to claim as much ETHW as possible.” : This Indicator Predicts Ethereum’s Expected Bear Trend Another curiosity about the current state of the bear market is this. Recently, “average inflow transaction size is generally larger than outflow transaction size”. And it’s a stronger metric. However, these large inflow transactions may suggest something meaningful. “Bigger traders and institutional investors are more skeptical about merger success”. . For completely different reasons. Featured Image from Pixabay by congerdesign | Chart by TradingView will always share this content license.

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