🚀 Bitcoin (BTC) price entered the correction phase after the rally exceeding the $44,000 level. According to the weekly report of on-chain analytics platform CryptoQuant, valuation indicators show that BTC is in need of a correction due to its rapid increase in price.

📉 CryptoQuant's Bull-Bear Market Cycle Indicator has entered the red zone for the third time this year. In the past, crypto asset prices have corrected for two periods and the indicator has entered the overheated bull phase.

🔍 According to on-chain data, 90% of BTC in circulation is profitable and according to previous cycles, the current phase marks the beginning of the price correction.

🐳 The crypto market experienced selling pressure from short- and long-term holders, whales, and miners. Short-term holders began unloading their holdings at high profit margins, while long-term holders sold as prices rose above $40,000.

⛏️ Bitcoin miners offloaded more coins and sold their assets at an average profit margin of 40% when BTC rose to $44,000. This is seen in the high levels of miner output over the last few days.

🔔 Still, CryptoQuant says the bear market is a thing of the past and BTC has moved into its bull phase, even though the cryptocurrency is down nearly 10% from its recent peak. According to CoinMarketCap data, BTC is trading at $42,700 at the time of writing, up 4% in the last 24 hours.

💰 Additionally, crypto market liquidity conditions are improving as the market cap of stablecoins increases. The market value of the largest, Tether (USDT), reached record levels, exceeding $90 billion. Total stablecoin market value also increased to $129.19 billion, according to DefiLlama data.