All 8 Bitcoin Price Indicators Just Turned Green: Is a Bull Run Here?
• 8 key indicators tracked by crypto analytics firm Glassnode point to a possible Bitcoin bull market.
• This is the first time that all 8 indicators have been flashing a BTC buy signal in unison since March 2016.
• Historically, when all 8 of Glassnode’s Recovering from a Bitcoin Bear indicator start flashing green, it has marked an excellent moment to buy Bitcoin.
Indicators Point To Possible Bitcoin Bull Market
Crypto analytics firm Glassnode’s “Recovering from a Bitcoin Bear” dashboard tracks 8 key on-chain and technical indicators to gauge whether Bitcoin might be transitioning from a bear market into a longer-term bull market. Earlier this week, all 8 of these indicators signaled that the next Bitcoin bull market might be here. This was the first time that they had all been simultaneously flashing green since March 2016.
What The Dashboard Measures
The dashboard analyses whether or not network utilization momentum is increasing, whether market profitability is returning and whether the balance of USD-denominated Bitcoin wealth is in favor of long-term HODLers. It also considers if BTC is trading above certain pricing models. On Thursday, one of the indicators (the 2-year Z-score of the Revenue From Fees Multiple) reversed slightly and was no longer signaling green; however, this will likely be short lived and soon all eight indicators will once again flash green in tandem.
Implications For The Price Of Bitcoin
When Glassnode’s “Recovering from a Bitcoin Bear” dashboard switches between five out of eight and less than eight indicators flashing green, it typically doesn’t mean anything for the price of bitcoin itself – however when all eight indicators are triggering green signals together after a prolonged bear market, this could represent an excellent buying opportunity for investors. This has happened three times in recent years: October 2020 (trading around $11,500), May 2019 ($7000) and October 2015 ($250). All three moments marked significant upturns in the price of bitcoin following their respective periods as bear markets.
How To Gauge A Bull Market
There are several ways investors can use to determine when there’s an incoming bull run such as keeping track of news headlines about crypto developments or watching for large institutional investments into bitcoin . However tracking on chain data through dashboards like Glassnode’s “Recovering from a Bitcoin Bear” can offer valuable insight into potential buying opportunities before they happen.
Glassnode’s “Recovering from a Bitcoin Bear” dashboard provides investors with valuable insight into potential buying opportunities during times when most other people may not even be aware that something big could be happening with bitcoin prices – making it useful tool to gauge upcoming trends in cryptocurrency markets such as possible upcoming bull runs or bear markets