February 1, 2023

Fundamental BTC indicators improve when the rate drops

Fundamental BTC indicators improve when the rate drops

After a noticeable uptrend at the beginning of the year, Bitcoin again began to show a downtrend, so how at the end of this week cryptocurrency recorded a six-month low. On November 22, the main coin fell to a minimum of $ 6,968, and then returned to trading just above $ 7,000.

The market downturn has led speculators toexperts and investors again began to reflect on the motives of the price movement. BKCM founder and CEO Brian Kelly does not consider this period to be a “long-term pullback,” adding that “this sale was an important minimum.” In his opinion, during the sale, the fundamental indicators of bitcoin improve:

“If you look at the basic principles underlying Bitcoin, you will see an increase in addresses, over the past 30 days it has amounted to about 5%.”

Kelly further explained the statement that “fundamentals improve with a sale.” He stated that cryptocurrencies work “like a social network”:

“When I look at the addresses, let's imagine them as the average monthly number of users on Facebook or on Twitter. So their growth is a positive moment. ”

Senior Commodity Strategist at BloombergIntelligence Mike McGlone also spoke about Bitcoin, adding that it is becoming more and more a "digital version of gold." At the same time, unlike altcoins, the main cryptocurrency receives real application.

“Bitcoin won the race. It is becoming digital gold, and now many people know about it in the digital space ... The bitcoin market is showing maturity, futures are becoming more common, Bakkt has achieved obvious success. For the first ten years, BTC showed spasmodic growth; now it is also in a growth phase. However, he will soon be able to overcome strong volatility. "