Déi grouss geschriwen rally in January has given on-chain analysts new hope that the bears are on the run and we have entered a new bull market cycle.
On Feb. 3, Bitcoin trader and Capriole Fund founder Charles Edwards explained why he thought a new bull market had begun.
“We’re likely at the start of a new cyclical Bitcoin bull market, inside the Volatilitéit circle,” he said.
The chart used to back up the notion looks into addresses that are in profit. Furthermore, the metric has jumped from 50% to 70% marking a new turning point, according to the chart.
Previous turning points for BTC addresses in profit have coincided with a transition from bear to bull markets. Additionally, they’re also followed by periods of high volatility.
Bitcoin Bulls Back Yet?
Edwards gesot that we have just witnessed a “significant momentum shift to the upside that looks symbolic of a market regime change.” He added:
“The 40% rally in January gives good odds that we have transitioned from a bear market into the early stages of a new bull market which will peak post 2024 halving.”
Furthermore, market sentiment has definitely shifted, as evidenced by the fear and greed index, which is still in greed territory.
Source: https://beincrypto.com/bitcoin-transitioned-new-bull-market-phase-analysts/