Bitcoin Is Still In A Bull Cycle; Here’s The Main Catch

According to Ki Young Ju, the co-founder and CEO of analytics platform CryptoQuant, Bitcoin (BTC) is currently being analyzed as the leading cryptocurrency asset.

Despite being almost 10% below the 2023 high, Ju affirms that Bitcoin is still in a bull cycle. This is due to the low selling pressure, which is a result of the majority of BTC acquired or mined more than six months ago remaining static.

“Bitcoin is still in a bull cycle.

Approximately 71% of realized cap is unmoved BTC (greater than 6 months), indicating low selling pressure from long-term holders currently.”

At the moment, Bitcoin is being traded at $29,178, which is approximately 8.3% lower than its highest point of $31,806 in 2023.

Despite this, the CEO of CryptoQuant warns that there is no guarantee of a rise in the price of the leading digital asset. However, he does note that with lower selling pressure, it is less likely that BTC has reached its cyclic top.

Additionally, Ki Young Ju highlights that the use of stablecoins for BTC is a positive development as people tend to purchase BTC using stablecoins. He predicted the fact that the crypto market will remain steady until there is an increase in the supply of stablecoins.

In fact, he believes that the market will be dull until more stablecoins are introduced for buy-side liquidity.

Just last month, Ki Young Ju expressed concern about the low level of stablecoin supply, stating that the “stablecoin fuel is running low.”

The upcoming Bitcoin halving event will be forming a crucial test for miners as they navigate reduced rewards and increased production costs, according to JPMorgan.

“Miners with lower electricity costs would find it easier to cope after the halving event, while miners with higher electricity costs could struggle post halving event,” JPMorgan strategists led by Nikolaos Panigirtzoglou wrote in a report on Thursday. Put simply, the halving event will determine miners’ ability to adapt and remain profitable in a changing environment.”