Bitcoin [BTC] may have stagnated near $57,000 but the bull run is far from over. At least that’s what this trader has to say. According to Ki Young Ju, the CEO of on-chain analytics platform, CryptoQuant, the crypto market cycle high is yet to come.
He went on to argue that when the market reaches its peak, the participants deposit their Bitcoins to crypto exchanges to sell. This was noted in the Jan of 2018 when the Bitcoin of inflow addresses across all exchanges was at its highest.
This in contrast with the present scenario since this figures has, in fact, hit a three-year low a few days ago.
Bitcoin Holders Are Not Selling
Over the past few weeks Bitcoin has been under immense selling pressure. While it has been able to defend the $55K support area, a breach towards its ATH is yet to transpire. But on-chain metrics depict that an explosive bullish structure is taking shape as institutional demand remains high.
This was indicative from the latest charts that revealed BTC miners’ holding position. CryptoQuant’s chart on Miners’ Position Index [MPI], depicted that the miners have been mostly holding their their coins since March 2021. The MPI started at 2.87 on the 1st of March before taking a serious tumble below the 0 level which pointed that these entities were not selling their coin but were rather on an accumulation trend.
There is a confidence in the market that the positive trend of buying is likely not going to stop soon. Bloomberg’s latest edition of monthly report, for instance, speculated that the world’s largest cryptocurrency is set for more appreciation. The report essentially based the prediction on BTC’s performance in previous bull runs and explained,
“Our graphic depicts Bitcoin on similar ground as the roughly 55x gain in 2013 and 15x in 2017. To reach price extremes akin to those years in 2021, the crypto would approach $400,000, based on the regression since the 2011 high.”