Bitcoin bear market over, metric hints as BTC exchange balances hit 4-year low

If the “hodl” patterns of the past continue, Bitcoin (BTC), may be already in its new macro uptrend.

This conclusion was reached after analyzing the most recent data on the supply of Bitcoin for one year or longer as of July 2022.

The bear market is over, according to Hodled BTC

Miles Johal, an independent analyst who posted the findings to social media July 29, said that a “rounded top formation in “hodled BTC” is currently being completed.

The price should respond once it does. This is just as happened on numerous occasions before.

The HODL Waves metric for Bitcoin, which breaks down supply according to when each Bitcoin moved last, is the key. The majority of the supply is currently represented by the one-year HODL wave, which was created at least one year ago.

Johal’s chart with accompanying data shows that BTC/USD is closer to a macro bottom the longer the supply remains stationary for at most one year.

Moreover, a slowing in the one-year HODL wave — indicating accumulation is calming — followed by a reversal always signals the beginning of a new long term BTC price uptrend.

With Bitcoin already gaining ground, this “rounded top” chart phenomenon has been closely watched as a source of hope.

Johal argued in comments that not many people had been paying attention HODL Waves.

Annotated chart of Bitcoin 1-year+ HODL Wave. Source: Miles Johal/Twitter

Exchange balances lowest since 2018

Separate data from Glassnode, an on-chain analytics company, highlighted the continuing trend of Bitcoin leaving exchanges.

Related: Bitcoin bull market ‘getting exciting’ as BTC prices hit 6-week high

Staff noted that BTC in exchange wallets accounts for 12.6% of total supply. This is down 4.6% since March 2020’s crash.

The #Bitcoin balance on the exchanges continues to decline macro, at 12.6% of Circulating Supply (2.4M USDBTC). Since the March 2020 ATH, exchange balances have seen a macro outflow exceeding 4.6% of the circulating supplies. Live Chart: https://t.co/zJnfaG05zt pic.twitter.com/vhKCudqGUr
— glassnode (@glassnode), July 29, 2022

The figure now stands at 2.4 million BTC, compared to 3.15million BTC in March 2020. This is the lowest number since July 2018.

BTC balance chart on exchanges. Glassnode

Cointelegraph published earlier this month a report on the increasing trend to remove coins from exchanges.

com. You should do your research before making any investment or trading decision.
https://cointelegraph.com/news/bitcoin-bear-market-over-metric-hints-as-btc-exchange-balances-hit-4-year-low

2021's Most Anticipated Growth & Wealth-Building Opportunity

Join Thousands of Early Adopters Just Like You Who Want to Grow Capital and Truly Understand Cryptocurrency Together

Donna Burk

Donna Burk– Business News My Name is Donna Burk and I am also the main source from the ‘Dailynewssheet.com’ of all the exclusive and most delicate visualization of the activities in the business sector. My first step towards this journey was taken in the very early years of my life. I started with an independent financial consultant. However, I only had almost 4 years of skills and experience in this market. I have always been a free personality and like to fly one place to another, to explore more and more. Moreover, this passion and craze of traveling gave me a chance to report a section for best news associations. Last but not least, I am presently working full-time as an editor.

2021's Most Anticipated Growth & Wealth-Building Opportunity

Join Thousands of Early Adopters Just Like You Who Want to Grow Capital and Truly Understand Cryptocurrency Together

Close Bitnami banner
Bitnami