It has been a bumpy ride for Bitcoin of late, From crashing below $30K to swiftly peaking just shy of $35K and hovering around $34K eventually. But, it’s still the king of the jungle as new patterns and analysis suggest that BTC is still strong in terms of growth and market dominance.
Popular crypto analyst Micheal Van de Poppe has weighed in on this topic recently. He predicts a substantial “bounce up” in the price dominance of the world’s largest crypto asset within the market.
Further, he also said, Although the Bitcoin Dominance rate (BTC.D) has risen in comparison to last week’s price movement it still has to maintain a key level to surge higher.
“Overall the very important level is the 50% point which has been an area of action in the previous period (when zoomed out).”
Data from Coinmarketcap suggests Bitcoin’s dominance when compared to total market capitalization is at 45%.
Analytics platform Santiment has also chimed in on this pointing out how people are considering Bitcoin as a “Safe Haven” amidst market volatility.
A surge is underway for Bitcoin!
Although there’s no denying that the Bitcoin network’s hashrate and the number of active BTC addresses have been steadily declining after reaching an ATH on 14 April. there’s a significant upside to this too.
On-Chain Analyst Willy Woo recently gave his 2 cents on this. He posted a chart depicting the 7-day moving average of Entities Net Growth, which portrayed a different image. According to him, Net User Growth is “as high as ever.”
The chart shows that, following the double bottom in May and June, user growth has picked up in recent days, with more people joining the market and taking advantage of the low BTC price.
Yann & Jan, another on-chain analyst, has updated charts of long-term hodlers’ (LTH) holdings and the change in BTC liquid supply. The chart clearly shows a growing phase of BTC accumulation and buying, which is inversely related to the Bitcoin price. LTH had not seen such a significant increase in positions in over a year.
The chart of BTC liquid supply change then reached negative territory for the first time since the May lows. This suggests that the amount of Bitcoin available for trading is beginning to surpass demand, which could lead to price surges.
At the time of writing, Bitcoin is trading at $32994.91 up by 5.1% in last 24 hours.