On October 11th, Unchained, a leading provider of Bitcoin financial services, revealed that for the first time in Bitcoin’s history, over 50% of the total supply is held by long-term holders, those who have weathered the volatile crypto market for two or more years.
This milestone has ignited discussions and speculations among cryptocurrency enthusiasts and analysts, hinting at a potential shift in the market dynamics.
The previous record for long-term holders’ dominance was set in 2016, which subsequently led to a staggering 20-fold increase in the price of Bitcoin. The big question on everyone’s minds is whether this time will be different.
Experts Weigh In On Bitcoin’s Prospects
Mags, a respected analyst in the cryptocurrency community, raised the question on everyone’s lips, tweeting, “Is Bitcoin Bull Run Right Around the Corner???”
Mags pointed to a technical indicator known as the Gaussian Channel, which has historically signified the beginning of a new bull cycle when it turns green following a bear market.
Historical data shows that in 2016, BTC surged by an astonishing 5817% shortly after the Gaussian Channel flipped green. 2019, a similar situation was expected, but a black swan event thwarted the rally.
Currently, in 2023, BTC’s price is holding steady above the mid-band of the Gaussian Channel, sparking optimism among traders. Even with a conservative target, if Bitcoin’s price manages to increase by 300% from its current level, it could reach $110,000 during the upcoming bull run.
Analyst Jelle also chimed in on the discussion, emphasizing that BTC’s higher timeframe structure remains bullish. Jelle noted that BTC is gradually gaining and maintaining a positive local structure.
Predicting that BTC may soon test the $30,000 mark, Jelle indicated that the anticipated “Uptober” phenomenon, where Bitcoin typically exhibits strong performance in October, has yet to materialize this year fully. It contrasts the stock market, which is currently pushing higher.
While historical patterns offer some guidance, the dynamic nature of the crypto market ensures that every new cycle brings unique challenges and opportunities. However, all eyes will remain on Bitcoin to see whether it can prove the analysts right and potentially embark on a new bullish journey.
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