Seven Out of Eight Key On-chain Indicators Signal the Bitcoin Bull Market is Here
Seven out of eight key on-chain and technical indicators tracked by crypto analytics firm Glassnode’s “Recovering from a Bitcoin Bear” are now signaling that the next Bitcoin bull market might be here. Glassnode analysts utilize the dashboard to gauge whether Bitcoin might be in the process of transitioning from a bear market into a longer-term bull market.
The dashboard analyses whether Bitcoin is trading above key pricing models, 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 the long-term HODLers.
Bitcoin’s recent rally has seen it break to the north of its 200-Day Simple Moving Average (SMA) and Realized Price, the average price at the time when each Bitcoin last moved. Both are viewed as technical levels with key long-term significance. A break above them is viewed by many as an indicator that near-term price momentum is shifting in a positive direction.
The 30-Day SMA of new Bitcoin address creation moved above its 365-Day SMA a few weeks ago, a sign that the rate at which new Bitcoin wallets are being created is accelerating. This has historically occurred at the start of bull markets.
However, the Revenue From Fees Multiple still has a negative 2-year Z-score of around -0.33. The Z-score is the number of standard deviations above or below the mean of a data sample. In this instance, Glassnode’s Z-score is the number of standard deviations above or below the mean Bitcoin Fee Revenue of the last 2-years.
This is the only of Glassnode’s eight dashboard indicators that isn’t yet flashing a buy signal. However, as history shows, this can change very quickly.
The 30-Day Simple Moving Average (SMA) of
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