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Current Bitcoin landscape echoes mid-2020, says CryptoQuant CEO
Head of blockchain analytics firm CryptoQuant Ki Young Ju says the current volatility and on-chain activity is reminiscent of the time when Bitcoin traded at $10,000.
According to Ki Young Ju, the current landscape of BitcoinThe price action of is similar to that of mid-2020, during which the largest cryptocurrency by market value hovered around the $10,000 mark for several consecutive months before crossing the $60,000 mark.
In an X message on May 31st, the CryptoQuant The CEO noted that despite relatively low price volatility, on-chain activity remains robust, with around $1 billion in cryptocurrencies accumulating in whale wallets every day, likely for safekeeping purposes.
“Same vibe on Bitcoin in mid-2020. At the time, BTC hovered around $10,000 for six months with high on-chain activity, later revealed as OTC trades.”
Ki Young Ju
As of this writing, Bitcoin is trading at around $68,000, according to CoinGecko data. The cryptocurrency has been holding a range between $65,000 and $70,000 for several weeks now, suggesting that if it follows a similar pattern to that seen in mid-2020, significant volatility may not occur until late 2024 or early 2025.
At the end of March, the American asset manager Grayscale he underlined several on-chain and off-chain metrics indicate that Bitcoin was in the “middle of the bull run,” drawing comparisons to the 2021-2022 bull run, during which Bitcoin’s gains were followed by a notable rise in altcoin valuations .
Bitcoin still has the potential to surprise its holders. While this is the first time Bitcoin has reached a new all-time high prior to the halving, historical data suggests that the cryptocurrency typically only experiences significant returns 300-500 days following halving events. With the last halving taking place on April 19, Bitcoin still has at least 260 days before significant price movements can become evident.