BTC bull market signal? Key chain indicators reappear historical lows, the market may usher in a new round of outbreak

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CryptoChan2024/12/23 02:35

By:CryptoChan

According to the latest research by on-chain analyst CryptoChan, the "LTH/STH Cost Basis Ratio" of BTC has recently dropped to 0.282. This key indicator has accurately predicted the starting point of a bull market many times in history.

On May 6, 2017, the indicator dropped to 0.282, which was followed by the bull market climax of BTC's rapid surge from around $1,500 to $20,000.

On December 24, 2020, the indicator fell again to 0.281, after which BTC broke through its previous high and climbed to a new record of nearly $69,000 in 2021.

Now, the indicator has fallen back to 0.282 for the third time, almost completely coinciding with the range of the previous two bull market launches. As can be seen from the chart:

The black line above represents the price trend of BTC. The current price has steadily rebounded, showing a gradual upward trend in the previous bull market.

The blue curve below represents the LTH/STH cost benchmark ratio. As this ratio drops to a historical low, it indicates that the chips of short-term holders are close to the cost price of long-term holders. Market sentiment and chip structure tend to be typical before a bull market.

Currently, the price trend of BTC is highly consistent with the historical cycle of indicator fluctuations, which further strengthens the market's expectation of the bull market. Combined with on-chain data and fund flow analysis, perhaps a new round of violent market is already on the way.

Future observation point:

Can BTC continue its upward trend and further break through important resistance levels?

Whether the distribution of funds and chips maintains a healthy pattern will help push the market sentiment towards a comprehensive bullish trend.

Will history repeat itself? Has the bull market already set off? The next trend will be the focus of market attention!

BTC bull market signal? Key chain indicators reappear historical lows, the market may usher in a new round of outbreak image 0

Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

The article covers topics such as cryptocurrency market liquidation data, Federal Reserve interest rate cut forecasts, the surge in ZEC prices, regulatory relief measures by the US SEC, the Democratic Party's DeFi regulatory proposal, trends in central bank reserves, the release of the CPI report, and whale trading dynamics. The summary was generated by Mars AI. The accuracy and completeness of this AI-generated content are still being iteratively improved.

MarsBit•2025/10/10 01:51