In the latest revelation, renowned cryptocurrency data analytics firm Glassnode has taken to Twitter to unveil a striking observation about Bitcoin’s recent price action.
According to their tweet, the magnitude of drawdowns experienced during the recent upswing in Bitcoin’s price remains significantly lower when compared to previous bull cycles.
Glassnode’s tweet suggests that the recent drawdowns are relatively marginal if we assume the November low is a longer-term low for Bitcoin. To support their claim, Glassnode highlights the drawdown percentages experienced during various bull cycles throughout BTC’s history.
Starting with the genesis to 2011 bull peak, Glassnode reports a drawdown of -49.4%, indicating a significant dip in Bitcoin’s price during that period. Moving forward to the 2011-2013 bull peak, the drawdown deepened to -71.2%, reflecting a substantial decline in BTC’s value.
However, the situation appears to be more promising for BTC’s recent bull cycles. Glassnode’s data indicates that the 2015-2017 bull peak drawdown was comparatively lower, at -36%. Similarly, the drawdown experienced from 2018 to 2021 stood at -62.6%, indicating a moderate downturn during that period.
The latest figures shared by Glassnode suggest that the ongoing bull cycle, which began in 2022 and continues into the present, has witnessed an even smaller drawdown.
According to Glassnode, the current bull peak drawdown stands at -18.6%. It represents the lowest drawdown percentage in recent years and may indicate a more resilient Bitcoin market.
However, Glassnode’s findings provide a fascinating insight into the resilience and stability of BTC’s recent price movements. While previous bull cycles experienced significant downturns, the current cycle has demonstrated a comparatively mild pullback, bolstering optimism among Bitcoin enthusiasts.
Bitcoin Price Analysis
BTC is currently showing bearish signs, as per the latest data from CoinMarketcap. The cryptocurrency is trading at $26,641.87, down by about 1.92% in the last 24 hours. However, the weekly chart recorded a decline of about 2.66%, indicating some market volatility.
In addition, BTC’s trading volume has witnessed an increase of 23.87%, reaching $9,175,204,273 in the last 24 hours, whereas the market capitalization has decreased by 1.92% in the same time frame.
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