Bitcoin and the general crypto market have been trading in a literal range for the past few months, and investors may be getting tired, according to a new article published by Glassnode.
Contents
Key InsightsInvestors Are Getting TiredBTC’s Rising Cost BasisBitcoin Volatility Has SufferedBitcoin’s Supply “Temperature”In Conclusion:
One of the biggest allures of cryptocurrencies is their relative volatility.
With crypto, investors can jump into the market with a (relatively risky) trade, make some (relatively quick) profit and head back out again when they’ve had enough.
However, what happens when this same market continues to drag its feet for months on end, refusing to break out from ranges that continue to narrow down as the days go by?
Glassnode has a pretty good answer to that.
Investors Are Getting Tired
This might be the simplest way to put things.
In a recent article published by Glassnode, the amount of money pouring into Bitcoin is entering a very shallow climb.
Citing the realized cap metric on BTC, Glassnode explains that “investors simply ain’t investing” anymore.
Glassnode notes that over $16 billion in value ( representing a 4.1% increase over the last month), has flowed into BTC since January.
This seems like an impressive figure. But is it enough?
No.
Bitcoin Realized Cap
The chart above shows Bitcoin’s realized cap as calculated by Glassnode.
Glassnode observes that the climb of BTC’s realized capital is quite shallow, and is a shadow of the steep rise we saw during the 2021-22 uptrend.
Glassnode says that while enough capital is flowing in, the pace is still incredibly slow, compared to the cryptocurrency’s performance in the past.
The article is originally published at https://voiceofcrypto.online/
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