Bitcoin whales have recently taken significant long positions on the Bybit and HTX digital asset exchanges, as reported by CryptoQuant CEO Ki Young Ju. These whales entered the market at a price point of $69,000, indicating a bullish sentiment among large investors.
Young Ju points out that a similar trend occurred back in August 2023, preceding a dramatic rally that saw Bitcoin surge from $25,000 to over $73,000 in a short period. He emphasizes that the current market conditions do not suggest overvaluation, citing the “thermo cap ratio” as evidence.
The thermo cap ratio, calculated by dividing Bitcoin’s market capitalization by the total investment cost in the network, reflects the underlying fundamentals of the cryptocurrency. Young Ju reassures his followers that Bitcoin remains fundamentally strong despite recent price fluctuations.
In a recent update, Young Ju draws parallels between the current market behavior and that of four years ago, highlighting a period of consolidation amidst increasing on-chain activity. He notes that a significant amount of Bitcoin, totaling $1 billion, has been transferred to whale wallets, likely for cold storage purposes.
With Bitcoin currently trading at $68,124, investors are advised to stay informed and monitor price action closely. The Daily Hodl provides regular updates and analysis to keep readers informed about the latest developments in the cryptocurrency market. Remember to exercise caution and conduct thorough research before making any investment decisions.
