Bull run the return? – Bitcoin hit a local 9-month maximum in passing above $28,000. Many on-chain indicators suggest that the asset could be entering a bull run.
A bitcoin (BTC) in “pre-bull-run” mode according to Glassnode
Glassnode is a business specialized in on-chain data analysis. Each week, it reveals the results of its analyzes in a report.
According to its latest report, the average number of monthly Bitcoin transactions has reached 309,000 transactions per day. This level was unmatched since April 2021when Bitcoin hit $64,000.
In Bitcoin’s entire history, only 12.2% of days have seen more transactions than this.
Next, Glassnode looked at the number of unique Bitcoin users. The company has detected that more than 122,000 new entities appear every day on Bitcoina figure more than nearly 90% of all other days.
The majority of days with similar stats have centered around Bitcoin’s late 2017 price peak and 2020/2021 bull market.
Of course, this increase in activity and in the number of users has caused congestion on the network. Who says congestion, says rising transaction fees.
This rise has benefited Bitcoin miners. Indeed, the increase in fees has allowed miners to see their income back in the positive. Thus, Glassnode uses a metric called Z-Score which makes it possible to compare trends between different periods. This Z-Score is back in the positive, with $22.6 million daily income For minors of the network.
“Miners are of course the main beneficiaries of this influx, seeing their total income soar to $22.6 million a day. This week, miner earnings hit their highest level since June 2022, convincingly beating the annual average. »
>> Expose yourself to Bitcoin on Binance, 10% fee reduction with this link (commercial link) <<
Growing adoption and network effect
The increase in transactions and new entities is usually associated with periods of growing adoption and network effects with an increase in investor interest in Bitcoin.
This trend could be explained by the recent turbulence in the traditional banking systemwhich would push investors to turn to cryptocurrencies to diversify their portfolio.
Obviously, impossible not to mention the effect that the Ordinals had on the queen blockchain of cryptocurrencies. Indeed, the Ordinals project allows the creation and storage of NFTs on the Bitcoin blockchain.
Their launch spawned the creation of dozens of NFT collections. We can mention in particular the collection launched by Yuga Labs, the studio behind the Bored Ape Yacht Club (BAYC).
If this momentum continues, Bitcoin could well enter an early bull market, providing new opportunities for investors and cryptocurrency users. Some observers consider that Bitcoin could be a bulwark against the current crisis facing banks.
Will you support the Bitcoin revolution? It’s up to you to get on the crypto train! To do this, and begin to familiarize yourself with this exciting world, do not wait for you create an account on Binance. You will save 10% on your trading fees by following this link (trading link).