Key On-Chain Metric Signals Potential Bitcoin Bull Run, Mimicking 2017 Surge

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In a recent analysis shared on an unspecified platform, an astute financial decoder has pointed out a key on-chain metric that might just be heralding the advent of a strong upward bull run, reminiscent of the monumental profit surge witnessed in the year 2017. Despite the predictions of a vigorous upstepping pitch in Bitcoin’s value post the Halving event of April 20, the digital currency is treading on a steady plateau, with price escalations being marginal, yet somewhat positive.

A sudden drop in the 7-day average Flow Indicator, observed on significant cryptocurrency trading hubs like Coinbase and Binance, was prominently noted by the analyst. The decrease which dipped from a formidable 161,000 BTC to nearly half at 76,000 BTC, is not unprecedented. A similar pattern prevailed back in 2017, just before Bitcoin embarked on its most significant bull run. The Flow Indicator shrank down to 64,500 BTC, and within a matter of days or weeks, prices precipitated to an astounding $20,000 by December 2017.


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The predictions for a potential ‘leg up’ in Bitcoin’s chart remain shrouded by the sands of time. Currently, it is tethered within a bear formation as per the daily candlestick craftings. Regardless of the price enhancements realized post the April 20 Halving event, buyers seem to have been perturbed by this advancement. Therefore, the market tilted in favor of the sellers, with the bearish engulfing pattern from April 13 continuing to govern the price movements. On a technical front, a breakthrough past $68,000 may possibly lay the groundwork for a bull rally that may propel the value as high as $74,000 in the forthcoming days.

While the decreasing Flow Indicator signals a waning volume of BTC on exchanges, another analyst has diverted attention to an equally intriguing occurrence. The analyst remarked that the available Bitcoin supply faded below 4.6 million for the first time preceding April 20, coinciding with the network halving miner rewards. Given the Halving event cuts the daily emissions by half, if the current buying demand sustains, a supply squeeze may set the stage for an eventual hike in prices.

The timeline of BTC price rallies has historically been linked to a few months succeeding the Halving Day. However, recent months have showcased noteworthy divergences. Before Halving Day, prices made an unprecedented leap to peak figures. This is nothing short of a first.

Adding another layer of complexity, the United States Securities and Exchange Commission (SEC) gave the green light to the first spot Bitcoin ETFs in January 2024. This launch offers institutions an unrestricted opportunity to gain exposure through shares, thereby changing the price dynamics in the current digital currency era. Both these factors could lead to unanticipated departures from the traditional performance history of Bitcoin.

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Melinda Cochrane is a poet, teacher and fiction author. She is also the editor and publisher of The Inspired Heart, a collection of international writers. Melinda also runs a publishing company, Melinda Cochrane International books for aspiring writers, based out Montreal, Quebec. Her publication credits include: The art of poetic inquiry, (Backalong Books), a novella, Desperate Freedom, (Brian Wrixon Books Canada), and 2 collections of poetry; The Man Who Stole Father’s Boat, (Backalong Books), and She’s an Island Poet, Desperate Freedom was on the bestseller's list for one week, and The Man Who Stole Father’s Boat is one of hope and encouragement for all those living in the social welfare system. She’s been published in online magazines such as, (regular writer for) ‘Life as a Human’, and Shannon Grissom’s magazine.