Finance
Bitcoin is Down 20% from March, but Glassnode Analysts Remain Very Bullish – Find Out Why
Bitcoin recently experienced a significant correction of over 20% from its all-time high, following the FTX crash in November 2022. Despite this dip, Glassnode analysts remain cautiously optimistic about the cryptocurrency’s future. The blockchain analytics platform notes that Bitcoin’s macro uptrend is resilient, with corrections being relatively shallow and liquidity rising to reduce volatility. While price action structure may offer support, triggers for price rallies are likely to come from fundamental factors and market events.
Glassnode’s observation of a robust macro trend indicates a bullish outlook for Bitcoin, with reduced volatility helping to maintain the uptrend and suggesting a more mature market supported by institutional investors. One such sign of confidence is the accumulation of Bitcoin by whales, with one whale purchasing over 100 BTC in a week and more than 7,257 BTC this month. This aggressive accumulation implies that Bitcoin may be undervalued, even at multi-year highs, and could lead to further price increases.
Recent developments, such as former US president Donald Trump accepting crypto donations and European regulators considering approving Bitcoin as an investable asset in funds, indicate positive trends for the cryptocurrency. If approved, this move could attract billions of dollars from European institutions into Bitcoin, following the lead of banking giants like Morgan Stanley and BNP Paribas, which are already exploring investment options in BTC. Additionally, the increasing M2 money supply in the US and concerns about high inflation from the Federal Reserve may further drive demand for Bitcoin as a safe haven asset and hedge against inflation.
Overall, despite the recent correction, Bitcoin’s long-term outlook remains positive, with Glassnode analysts expressing cautious optimism about the cryptocurrency’s resilience in the face of market fluctuations. The accumulation of Bitcoin by whales and increasing interest from institutional investors suggest growing confidence in the digital asset, while recent developments such as Trump’s acceptance of crypto donations and European regulatory support could bring additional bullish momentum to the market. With potential tailwinds from macroeconomic factors like inflation concerns and institutional adoption, Bitcoin may continue to attract both retail and institutional investors seeking exposure to the digital asset.
-
Food7 days ago
37 Top Cooking Gifts for the Chef in Your Life in 2023
-
News6 days ago
Arsenal Secures Vital Victory Over Man United with 1-0 Win in Premier League: Live Score, Team News, and Updates as Gunners Hold on after Trossard’s Goal
-
Wellness6 days ago
Top 14 Mineral Sunscreens Recommended by Dermatologists for 2024
-
Politics7 days ago
Video: Former Nixon White House counsel explains why he believes the case against Trump in New York is highly compelling
-
Tech7 days ago
Frequently Asked Questions about the GeekWire Awards: What to anticipate at the event that recognizes the top technology in the Pacific Northwest
-
News7 days ago
Harry and Meghan’s ‘rock star’ tour of Nigeria: Duke showcases sitting volleyball skills in new Invictus Games highlight reel released by Team Sussex during three-day visit
-
Sport6 days ago
AGs from conservative states sue the Biden administration to stop ‘extreme transgender ideology’ endangering ‘safety of women and girls’
-
Sport7 days ago
Former NBA champion Glen ‘Big Baby’ Davis sentenced to prison for involvement in insurance fraud scheme