THE LATEST CRYPTO NEWS

Bitcoin’s recent performance has left the market in a state of uncertainty. Trading below the $100,000 mark for days now, the cryptocurrency seems to be grappling with a lack of upward momentum. Market participants seem to be questioning the forces holding back a more pronounced rally. Amid this challenging backdrop, some on-chain metrics and market indicators are beginning to offer potential insights into what might come next. Related Reading: Bitcoin OTC Balances Decline, Raising Market Supply Questions Bitcoin’s Taker Buy-Sell Ratio Indicates Potential Shift ShayanBTC, a contributor to CryptoQuant’s QuickTake platform, has offered an analysis centered on the taker buy-sell ratio. His insights suggest that a key metric in the futures market could signal a potential turn in Bitcoin’s momentum. The taker buy-sell ratio measures whether buyers or sellers are more aggressively placing market orders. When this metric trends above 1.0, it typically indicates stronger buying pressure, while a value below 1.0 suggests that sellers are dominating. According to Shayan, recent shifts in this ratio could have significant implications. In his latest post titled “Bitcoin Taker Buy-Sell Ratio Reversal: A Bullish Signal for Market Momentum?” Shayan highlighted a reversal in the metric’s 14-day moving average. Following a prolonged decline, the ratio has now begun to rise. “This shift suggests that buyers are regaining strength and could soon take control of the futures market,” he explained. If this upward trend continues, breaking past the critical 1.0 threshold, it could indicate that buying pressure is finally outpacing selling, potentially setting the stage for a renewed bullish rally. Whale Activity and Spot Exchange Trends Meanwhile, another significant factor in Bitcoin current market is the activity of Bitcoin whales. Grizzly, another CryptoQuant analyst, highlights that the Exchange Whale Ratio has reached a multi-year high. This metric measures the proportion of the top 10 inflows to spot exchanges relative to total inflows, and its recent upward trajectory highlights increased activity among large-scale investors. Historically, a decline in whale deposits on spot exchanges has often preceded a bullish Bitcoin rally. The reasoning is that when these major holders reduce their asset inflows, it can indicate diminished selling pressure. With the Exchange Whale Ratio remaining elevated, it is worth closely monitoring for any signs of a reversal. If whales begin withdrawing rather than depositing large amounts of Bitcoin, it could set the stage for broader market recovery and renewed confidence among smaller investors. Related Reading: Bitcoin Funding Rate Turns Neutral On Top Exchanges: What Happened Last Time At the time of writing, Bitcoin trades below $96,000 with a current price of $95,102. This trading price brings BTC down by 1.8% in the past and roughly a 12.6% decrease away from its peak above $109,000 established in January. Featured image created with DALL-E, Chart from TrafdingView

Ethereum price action amid the broader crypto market bearish sentiment over recent weeks hasn’t been any different from the performance recorded in the past months. Over this period, Ethereum’s price has struggled to gain significant upward momentum, remaining in a prolonged consolidation phase. Amid this, a recent analysis by CryptoQuant contributor MAC_D has shed light on Ethereum’s current state and factors that may influence its future price trajectory. The analysis notes that Ethereum’s “ultrasound money” narrative—an idea tied to its post-Merge deflationary tokenomics—has faced challenges. Total supply has reached record highs, and the staking ratio has decreased by 1% since November. However, despite these supply-side hurdles, several demand-side factors suggest Ethereum might be positioned for long-term growth. Related Reading: Ethereum Outflows On Derivative Exchanges Hit Record Lows: What It Means for ETH Undervaluation, Holder Behavior, and Institutional Interest One other key insight from the analysis is that Ethereum appears undervalued based on its realized price. The realized price reflects the average acquisition cost of ETH holdings across all wallets, currently sitting at approximately $2,200. With the current market price around $2,600, the analyst calculates a market value to realized value (MVRV) ratio slightly above 1, indicating that ETH remains undervalued relative to historical norms. This level could act as a strong support base, potentially limiting further downside. Another factor supporting Ethereum’s potential upside is the behavior of long-term holders. The analysis highlights an increasing number of addresses that accumulate Ethereum without selling, akin to Bitcoin’s “permanent holders.” Although some larger investors have sold during recent downturns, their positions have been absorbed by these long-term holders, helping stabilize the market. This trend suggests that Ethereum’s investor base is maturing, with a growing segment committed to holding the asset through market volatility. Ethereum: A Major Rebound On The Horizon? Furthermore, the analyst points out that selling pressure in the futures market has eased. Data shows a notable reduction in market price trading volume on the sell side since Ethereum’s price near $4,000 in November last year. This decline in selling activity, even as prices fell, signals a relative influx of buying power, which could set the stage for a recovery if market conditions improve. Institutional participation is another encouraging factor. Major players, including BlackRock, Cumberland, and other prominent firms, have reportedly accumulated substantial amounts of ETH during the recent downturn. For example, BlackRock is said to have purchased over 100,000 ETH, valued at more than $270 million. Such significant institutional inflows not only boost demand but also lend credibility to Ethereum’s long-term investment thesis. Despite these positive indicators, the analysis acknowledges lingering challenges. The increase in total supply and the slight dip in the staking ratio could weigh on sentiment, particularly if macroeconomic conditions remain uncertain. Related Reading: Analyst Says You’ll Regret Not Buying Ethereum At These Prices, Here’s Where It’s Headed Moreover, Ethereum’s price movement may remain constrained in the short term as the broader market digests ongoing economic shifts. However, the combination of undervaluation, strong long-term holder participation, reduced selling pressure, and institutional accumulation paints a more optimistic medium- to long-term outlook. While Ethereum may continue to trade sideways in the near term, the factors outlined in the analysis suggest that it could be well-positioned for growth once broader market conditions stabilize. Featured image created with DALL-E, Chart from TradingView

Toncoin (TON), which once saw significant hype leading to consistent new highs, has struggled to regain upward momentum. After a series of steady declines in the past week, the asset’s price has now slipped below the $4 mark, leaving investors concerned about its near-term potential. This prolonged downtrend has caused speculation about whether TON might be approaching a crucial turning point that could result in a major reversal in price. Related Reading: Is Toncoin Set for a Comeback? Key Market Signals Point to a Possible Rebound TON’s NMR Hits Rock Bottom: A Golden Opportunity for Investors? Amid the bearish trend, Joao Wedson, a contributor on CryptoQuant’s QuickTake Platform, recently highlighted some intriguing insights. In a recent post, titled “TON Reaches NMR Lows: A Signal for Medium- to Long-Term Accumulation,” Wedson explained that the Normalized Metric Risk (NMR) for TON has hit its lowest levels yet. This indicator assesses the asset’s valuation by comparing its current price against weighted moving averages, including 50-day and 374-day averages. By factoring in logarithmic differences and time-weighted adjustments, the NMR offers a deeper perspective on TON’s market standing. Wedson’s analysis suggests that TON’s current low valuation phase could present a potential opportunity for investors. According to his findings, the NMR’s historic low levels indicate that the token might be undervalued. TON Reaches NMR Lows: A Signal for Medium to Long-Term Accumulation “This indicator, which evaluates the relationship between the current price and weighted moving averages… reveals that the TON token is in a historically low valuation phase.” – By @joao_wedson pic.twitter.com/P8ckhnSFck — CryptoQuant.com (@cryptoquant_com) February 11, 2025 For those who adopt a medium- to long-term investment horizon, this may be an opportune moment to begin accumulating TON, with the expectation that its price will appreciate over time. However, it’s worth noting that such a strategy is not without risks. While historically low valuation metrics may hint at future growth, the broader market conditions and TON’s overall adoption will play critical roles in determining whether this approach pays off. Toncoin Price Performance And Outlook Meanwhile, Toncoin is currently trading at $3.78—this market price marks not only a 1.1% decline for Toncoin in the past 24 hours but also adds to the prolonged bearish trend in TON in recent weeks marking a 22.5% drop in TON price over the past two weeks. Notably, so far, TON has fallen roughly 54% from its all-time high of $8.25 registered in January last year. Interestingly, despite this bearishness, another CryptoQuant analyst known as Darkfost has highlighted a bullish indicator for TON. Related Reading: Toncoin Stabilizes Above $5: Is Now The Time To Buy TON? According to Darkfost, TON’s risk appetite has soared, “signaling an influx of liquidity into the TON ecosystem.” ???? Risk Appetite Soars Among $TON Speculators ???? We are currently witnessing a historic high in risky investments, such as derivatives, options, and lending, on TonCoin. This suggests that speculative investors have increased their risk exposure to TON following the recent… pic.twitter.com/HCQ1va4VOV — Darkfost (@Darkfost_Coc) February 11, 2025   Featured image created with DALL-E, Chart from TradingView

Bitcoin has experienced a challenging period recently, with its price consistently declining over the past several days. After failing to maintain its position above the six-figure mark, the leading cryptocurrency now trades below $97,000. At the time of writing, BTC trades at a price of $96,939, marking a 0.8% decline in the past day and a 10.9% decrease from its peak established in January. This downturn comes amid several underlying factors that are also related to on-chain developments. Related Reading: Bitcoin’s Exchange Reserves Plunge—Are We On The Brink Of A Rebound? Bitcoin OTC Balances Decline: The Implications One notable trend has been recently highlighted by CryptoQuant contributor Darkfost, concerning the sharp decline in Bitcoin’s over-the-counter (OTC) desk balance. Notably, institutional players—such as hedge funds, governments, and large corporations—have traditionally relied on OTC desks to acquire Bitcoin without impacting the broader market. However, Darkfost points out that since September 2021, the OTC balance has dropped from approximately 480,000 BTC to just 146,000 BTC as of now. Bitcoin OTC Desk balance is declining sharply “In September 2021 the OTC desk balance was around 480k BTC and today it sits at 146k BTC left.” – By @Darkfost_Coc Read more ????https://t.co/RCNlSeauDT pic.twitter.com/S0P2jLu8ta — CryptoQuant.com (@cryptoquant_com) February 10, 2025 He notes that even after Bitcoin hit $100,000, the OTC desk balance continued to fall, reflecting steady demand. This declining balance raises questions about where these institutional buyers will source Bitcoin when the remaining OTC supply is depleted. The analyst added: When this balance will be fully empty, all buying will have to occur directly on exchanges, which could significantly impact BTC’s price. By looking at the sell side liquidity inventory, we can observe that US exchanges currently hold almost 1M BTC. Miners could also sell their BTC via OTC, but their current balance is around 117k BTC, and not all miners rely on OTC transactions. Miners and Hash Rate Trends Darkfost also highlights another key market factor: miner capitulation. Mining activity, measured through indicators like the Hash Ribbons, provides valuable insight into the health of Bitcoin’s network. The Hash Ribbons track hash rate fluctuations, and according to Darkfost, they have historically served as a reliable signal of market entry points. While this indicator has only failed once—during the COVID-19 market shock—its current flashing suggests that miners might be capitulating. According to Darkfost, when miners struggle, they may sell off reserves, further influencing market supply and demand dynamics. Miners are capitulating! “This indicator consistently highlights optimal entry zones, both for mid-term positioning and long-term accumulation. Each time Hash Ribbons has flashed in the past, a Bitcoin rally has followed.” – By @Darkfost_Coc Link ????https://t.co/s0mwgeKiOc pic.twitter.com/Xxuwx4HyRz — CryptoQuant.com (@cryptoquant_com) February 11, 2025 Featured image created with DALL-E, Chart from TradingView

Bitcoin is now experiencing a break from last week’s steady decline, which saw the asset drop as low as $94,000. As of today, BTC’s price has steadily climbed, hovering above $97,000 at the time of writing—a 1.3% gain in the past day. Amid this Bitcoin price performance, a CryptoQuant analyst known as Crypto Lion has identified a meaningful decline in leverage and open interest (OI) ratios since November 21, following the presidential election. What does this indicate for the Bitcoin market? Related Reading: Could Fear Fuel Bitcoin’s Comeback? Analyst Spots a Surprising Pattern Leverage Ratio Decrease And Its Implications In a recent QuickTake post titled “Leverage ratio decreased. Risk Off,” Crypto Lion explained that the leverage ratio of Bitcoin has fallen, along with the derivatives buy-sell ratio and the OI-to-market-cap ratio. This suggests a gradual unwinding of leverage as more Bitcoin leaves centralized exchanges (CEXs). The analyst also highlighted that much of this Bitcoin has shifted to Coinbase Prime or been used to back exchange-traded funds (ETFs), indicating a shift toward long-term holding and possibly a broader “risk-off” stance among large investors. The analyst particularly wrote: The large decrease in the leverage ratio means that OI is decreasing relative to the CEX BTC reserve. It is important to note that the CEX reserve has been declining for a long time and has been moved to the coinbase prime and bought to back ETFs. This means that risk-off may be more advanced than it appears. Bitcoin Exchange Outflows Reach 2022 Levels Adding to this narrative, another CryptoQuant analyst, Papi, reported a significant development in Bitcoin’s exchange dynamics. According to Papi, the largest net outflow of Bitcoin from exchanges since 2022 occurred last week, reducing the supply of Bitcoin on these platforms by 3%. The last time outflows reached a comparable scale was shortly after the collapse of FTX, a major exchange event that reshaped market sentiment. This latest exodus of Bitcoin from exchanges may signal growing confidence among institutional players and long-term holders. Despite recent price fluctuations, large buyers appear to be “stacking on dips,” as Papi noted. This behavior suggests that these entities anticipate future price appreciation and are accumulating while prices remain comparatively low. Related Reading: Bitcoin Indicator Signals Short-Term Holders Have Been Taking Profits – Is The Next Rally Near? The shift of funds off exchanges into private wallets or institutional custody often reflects a strategy of long-term holding rather than short-term trading, potentially providing a stable foundation for future market growth. Looking ahead, the reduced leverage ratios, coupled with significant outflows from exchanges, could point to a more cautious yet optimistic market sentiment. If these patterns continue, they may set the stage for a more sustained recovery in Bitcoin’s price and a shift toward healthier market conditions over time. Featured image created with DALL-E, Chart from TradingView

The Bitcoin price appears to have settled within the $92,000 – $102,000 consolidation range, sparking discussions about the coin’s future trajectory. While it remains unclear whether the premier cryptocurrency has enough momentum to forge new all-time highs soon, it would take significant bearish pressure to pull down the BTC price. Nevertheless, the latest on-chain data shows a specific level that could be crucial to the Bitcoin price in the short term. Here’s How $96,000 Could Be Critical To BTC Price In a Quicktake post on the CryptoQuant platform, an analyst with the pseudonym ShayanBTC explained how the realized price of a certain investor class could influence the Bitcoin price trajectory in the short-to-mid term. This analysis revolves around the Realized Price of Unspent Transaction Output (UTXO) age bands, which evaluate the holding pattern of different investor cohorts through different realized prices. The UTXO age bands metric measures the average price at which Bitcoin holders purchased their coins compared to how long they’ve held the assets. The relevant age band in ShayanBTC’s analysis is the 1-month to 3-month group, which offers insight into “short-term holders’ behavior and overall market sentiment.” Related Reading: Dogecoin Whales Desert Market: Number Of $100,000 Transactions Nosedives 70% According to the Quicktake analyst, the realized price of Bitcoin holders in this short-term investor cohort has historically served as critical support levels. Historically, the Bitcoin price has often found a cushion above this realized price, suggesting that investors are doubling down on their positions. Recent data from CryptoQuant shows that the Bitcoin price is currently holding above the realized price of the 1-3 month cohort. As of this writing, this UTXO age band’s average purchase price is around the $96,000 mark. ShayanBTC highlighted the importance of the Bitcoin price holding above $96,000 in maintaining the current bullish narrative. “Holding above this key level reinforces a bullish market sentiment, increasing the likelihood of an extended upward trend,” the Quicktake analyst noted. On the flip side, a breach beneath the crucial $96,000 support could trigger a shift in investor sentiment from confidence to fear. Ultimately, the failure of this crucial level could force some investors to distribute their coins, threatening the upward trajectory of the BTC price. Bitcoin Price Stays Above $96k As of this writing, Bitcoin is valued at around $96,500, reflecting no significant move in the past 24 hours. After starting the week above $100,000, the flagship cryptocurrency quickly fell toward $92,000 due to bearish pressure triggered by new US trade policies. According to CoinGecko data, the price of BTC is down by nearly 4% in the past week. Related Reading: 49,700 Dormant Bitcoin Just Moved—What’s Next For BTC’s Price? Featured image from iStock, chart from TradingView

Bitcoin price in recent days seems to have dimmed investor’s confidence in the asset for now with the community seeing less buzz as BTC sees fewer green days.  Regardless of this, some analysts are still eager to analyze BTC and its major metric to at least get a perspective on if there’s hope around the corner. An instance is a CryptoQuant analyst known under the pseudonym ‘Avocado Onchain’ who recently shared an insight on BTC focusing on Binance funding rates. Funding rates, which represent the cost of holding long or short positions in the futures market, can provide insight into market sentiment. A decrease in funding rates often suggests growing pessimism, as traders who previously held bullish positions are forced to cover their positions due to mounting losses. This shift in sentiment can have cascading effects, leading to mass liquidations and further price declines. Related Reading: Bitcoin Volatility ‘Relatively Low’ Despite Market Shakeouts – Analysts Eye This Crucial Level Binance’s Funding Rates And Potential for Rebound Avocado, has recently examined the implications of Binance’s funding rates in a post titled “Monitoring Binance Funding Rates: Will Bitcoin Rebound After Extreme Fear?” According to the analysis, a notable wave of long position liquidations occurred recently, leaving the market in a state of extreme fear. Funding rates on Binance, a platform known for its large retail investor base, have shown a pattern that may hint at future price movements. Historically, negative funding rates on Binance have been relatively rare, but when they do occur, they have often preceded significant price rebounds. Avocado suggests that this dynamic is linked to the behavior of retail traders, who dominate Binance’s trading volume. When these traders display heightened fear—manifested through negative funding rates—Bitcoin has tended to defy the prevailing sentiment and recover. The analyst also pointed out that during past bull markets, Bitcoin’s price has rebounded after hitting negative funding rates triggered by large-scale liquidations. This historical pattern could indicate that, while the current market environment appears grim, further declines in funding rates might signal a reversal. Essentially, if negative funding rates reappear on Binance, it may suggest that the market has reached a point of capitulation, often a precursor to a sustained recovery. Bitcoin Market Performance Meanwhile, Bitcoin has continued to face challenges in its upward momentum. Although the asset briefly rebounded to $100,000 earlier today following a mixed US jobs report, it quickly lost ground and was unable to sustain this recovery. At the time of writing, BTC is trading at $98,226, reflecting a modest 1.8% gain in the past day. Interestingly, while Bitcoin’s price was higher at this time last week, today’s trading volume surpasses last week’s levels. Notably, so far, BTC’s daily trading volume climbed from $34 billion last Friday to over $55 billion today. Featured image created with DALL-E, Chart from TradingView

Bitcoin’s price performance remains subdued, with the cryptocurrency trading above $97,000 at the time of writing—a roughly 6.5% decline over the past week. The crypto asset has yet to reclaim the $100,000 level it lost earlier this week, leaving market participants uncertain about the near-term direction. Amid this backdrop, one CryptoQuant contributor, known as caueconomy, provided an analysis of a significant development involving Bitcoin’s exchange withdrawals. Related Reading: Bitcoin Still In Bull Market, On-Chain Indicator Confirms Largest Exchange Withdrawals Since FTX Collapse In a recent post, caueconomy highlighted the largest volume of exchange withdrawals since the FTX collapse. According to the data, over 47,000 BTC were removed from exchange reserves. While some of these movements may be internal, they also indicate potential accumulation by a large market player or institutional entity. This trend of Bitcoin moving off exchanges typically signals a long-term bullish perspective, as fewer coins available for trading may lead to reduced sell-side pressure over time. However, the analyst clarified that this shift does not produce an immediate supply shock capable of impacting Bitcoin’s price in the short term. Instead, it points to a gradual accumulation phase that could provide support for future price appreciation. The largest volume of exchange withdrawals since the collapse of FTX “While these withdrawals do not reflect an immediate “supply shock” to the price of bitcoin… it still reveals a trend of accumulation by large players.” – By @caueconomy Full post ????https://t.co/ZjYBijDOZp pic.twitter.com/ZEWj95wtfD — CryptoQuant.com (@cryptoquant_com) February 7, 2025 Bitcoin Breakout On The Horizon? Meanwhile, another CryptoQuant analyst, Onatt, offered insights into potential breakout scenarios for Bitcoin. Onatt pointed to the strong buying interest captured in the Coinbase Premium Index, a measure that compares Bitcoin’s price on Coinbase to other exchanges. A positive premium often reflects heightened demand from institutional investors, suggesting that the market’s upward potential is intact. Onatt also noted the crossover of key moving averages—SMA14 and SMA60—indicating a possible build-up of bullish momentum. The analyst further highlighted Bitcoin’s increasing correlation with gold and the S&P 500, indicating that the cryptocurrency’s performance may align more closely with traditional risk assets. If the broader financial markets adopt a “risk-on” sentiment, Bitcoin could see an upward trend. Related Reading: Bitcoin Network Activity Slumps To One-Year Low – Is BTC Overpriced? Additionally, Federal Reserve Chairman Jerome Powell’s recent comments regarding the limited impact of employment data on inflation have helped stabilize market expectations. As long as economic data remains within forecasted ranges, positive sentiment toward Bitcoin and other risk assets may continue to grow. Featured image created with DALL-E, Chart from TradingView

Bitcoin is experiencing a challenging period, with its price remaining below the $100,000 mark after a significant drop earlier this week. Today, Bitcoin hovers just above $98,000, marking a nearly 10% decline from its all-time high of over $109,000 recorded last month. Interestingly, while BTC’s price has slowed, its exchange reserve has faced the same fate, with data showing a continuous decline from this metric. Related Reading: 49,700 Dormant Bitcoin Just Moved—What’s Next For BTC’s Price? Does This Suggest An Incoming Rebound For Bitcoin? ShayanBTC, one contributor to the CryptoQuant QuickTae platform, particularly pointed out this trend in a post titled “Bitcoin Exchange Reserves Plunge: Is Supply Shock Driving the Next Rally.” According to Shayan, there is a chance that this reserve plunge will become favorable for BTC in the near term. In the post, Shayan disclosed that exchange reserves—the amount of Bitcoin held on trading platforms—have steadily decreased. This trend often signals an accumulation phase by investors, as more market participants withdraw their BTC from exchanges to secure long-term holdings. This reduced circulating supply can create a “supply shock,” potentially driving higher prices in the coming weeks. “As shown in the chart, Bitcoin’s exchange reserves have been on an aggressive decline, signaling an accumulation phase by investors,” Shayan explained. The analyst added: Given that exchange reserves serve as a supply-side indicator, this persistent decline could contribute to further price appreciation in the coming weeks. Bitcoin Exchange Reserves Plunge “As shown in the chart, Bitcoin’s exchange reserves have been on an aggressive decline, signaling an accumulation phase by investors.” – By @ShayanBTC7 Full post ????https://t.co/xxyCDSg3Vw pic.twitter.com/ntVY7AuDpD — CryptoQuant.com (@cryptoquant_com) February 6, 2025 Coinbase Premium Reaches 0 Zone Besides the exchange reserves, another important metric worth looking at to get the full picture of BTC’s likely trajectory in the near term is the Coinbase premium index. This index measures the price difference between Bitcoin on Coinbase, often a go-to platform for institutional investors, and other exchanges. A positive premium can indicate strong buying pressure on Coinbase, signaling institutional demand. The latest data shows that in recent days, the Coinbase Premium Index broke through the critical “0” resistance level with substantial volume, an occurrence that traders closely monitor. TraderOasis, another CryptoQuant analyst, highlighted that this breakout area also functions as a support/resistance level, making it a crucial point of interest. Related Reading: Key Indicator Signals DCA Opportunity Amid Bitcoin Buyer Momentum A sustained positive premium might indicate continued institutional accumulation, which could boost Bitcoin’s price recovery. Conversely, a failure to hold this level could suggest lingering bearish sentiment or a potential for further declines. Featured image created with DALL-E, Chart from TradingView

According to a recent CryptoQuant Research post, Bitcoin (BTC) network activity has slumped to a 12-month low, with CryptoQuant’s Bitcoin Network Activity Index currently at its lowest level since February 2024. Bitcoin Network Activity Drops As Market Consolidates Data from CryptoQuant’s Bitcoin Network Activity Index shows that activity has declined by 15% from its peak in November 2024. As of February 5, the Index stands at 3,760, marking its lowest level in the past year. Related Reading: Bitcoin 4-Hour RSI Hits Oversold Zone – Is A BTC Rebound Near? The decline in network activity is primarily attributed to a sharp drop in the number of transactions on the Bitcoin network. From an all-time high (ATH) of 734,000 transactions in September 2024, the total daily transaction count has fallen by 53% to 346,000. According to CryptoQuant, this downturn in BTC network activity is largely driven by a decline in the use of the Runes Protocol for minting tokens on the blockchain. The post explains: This is evident in the total daily number of OP RETURN codes in Bitcoin transactions, which the RUNES protocol uses to write data about token mints and transfers on the network. When the RUNES protocol emerged in April 2024, the daily number of OP RETURN codes spiked to 802K. However, the number of OP RETURN code has plummeted since, with only 10K OP RETURN codes used. For the uninitiated, The Runes Protocol is a new token standard for BTC, designed to enable fungible token creation directly on the network without requiring off-chain data or complex smart contracts. It aims to be more efficient and scalable than previous Bitcoin tokenization methods like Ordinals and BRC-20. Further evidence of reduced network activity is visible in Bitcoin mempool traffic. The total number of pending transactions waiting to be confirmed in a Bitcoin block has plummeted by 99%, from 287,000 in December 2024 to just 3,000 as of February 5, 2025. Notably, this is the lowest level of mempool traffic since March 2022. Is BTC Overvalued At Current Price? The analysis suggests that, based on network activity, Bitcoin’s fair value currently falls between $48,000 and $95,000. This implies that BTC’s current market price of around $98,000 may be overvalued. Related Reading: Bitcoin Withstands DeepSeek Dip And FOMC Volatility – How Close Is A New ATH? However, another CryptoQuant contributor argues that the current Bitcoin price presents a strong buying opportunity for investors looking to dollar-cost average their holdings. Similarly, another analyst suggests that BTC’s recent market performance indicates it is in the distribution phase of the market cycle. Despite short-term concerns, the long-term outlook for BTC remains bullish. A Standard Chartered executive recently predicted that Bitcoin could reach $200,000 by the end of 2025. At press time, BTC trades at $97,914, down 0.1% in the past 24 hours. Featured image from Unsplash, Chart from TradingView.com

Ethereum has continued to face headwinds, mirroring the broader downward trend in the global cryptocurrency market. The persistent market slump has made it challenging for ETH to sustain upward momentum, even as it attempts to recover from recent losses. Interestingly, it appears there might be some notable factors behind the scenes influencing Ethereum’s price movements, particularly the exchange netflows on derivative platforms. Related Reading: Ethereum Leverage Elevated Despite Long Squeeze, Glassnode Says Ethereum Faces Record Outflow: Implications Amr Taha, a contributor on the CryptoQuant QuickTake platform, recently offered insights into the Ethereum market’s ongoing dynamics. In a detailed post on the QuickTake platform, Taha noted that Ethereum’s netflow on derivative exchanges dropped below -300,000 ETH for the first time since August 2023. This significant shift, according to Taha, holds potential implications for price direction and market structure. Taha outlined several key factors to consider when assessing the impact of ETH outflows on pricing. First, when large amounts of ETH leave derivative exchanges, it often signals that traders are either closing leveraged positions or transferring funds to cold storage. This reduction in available supply can alleviate selling pressure, creating conditions that are favorable for a price increase—provided demand remains stable or grows. However, the nature of these outflows can lead to short-term market volatility. If the withdrawals are driven by the liquidation of leveraged long positions, the market may experience a temporary reset. While this can dampen buying demand in the short term, it often results in a healthier and more balanced market structure over time. Current Liquidity Stance And Key Metrics to Watch Additionally, Taha highlighted the significance of liquidity conditions in the broader financial system. Using a metric known as Fed Net Liquidity—which subtracts the Treasury General Account (TGA) and Reverse Repo (RRP) from the Federal Reserve’s balance sheet—he pointed out that rising liquidity levels often have a bullish effect on risk assets. Recently, the metric increased from 5.85 trillion to 5.95 trillion, suggesting more capital is available to flow into markets such as cryptocurrency. Historically, higher net liquidity correlates with increased asset prices, potentially benefiting Ethereum’s outlook. Furthermore, one of the more immediate indicators to monitor according to Taha is Ethereum’s liquidation map. Taha observed that certain price levels might force short positions into capitulation if ETH continues to climb. Related Reading: Ethereum Price Sets Its Sights on Higher Levels: Can Bulls Maintain Momentum? This could serve as a trigger for further upward movement if market conditions remain favorable. Additionally, the trajectory of net liquidity will remain an essential factor, as its direction often signals the broader sentiment toward risk assets. Featured image created with DALL-E, Chart from TradingView

Bitcoin recent price movements have been nothing short of a rollercoaster ride. Earlier this week, BTC traded below $90,000 and quickly bounced back to above $100,000. As of today, the asset now hovers above $98,000. Amid this price performance, CryptoQuant contributor XBTManager has provided insights into an important on-chain metric, highlighting a notable shift in the 6-12 month spent output age bands. This activity sheds light on possible market dynamics and future price developments. Related Reading: Why Bitcoin’s Price Crash Could Be a Buying Opportunity for Big Players Analyzing Bitcoin’s Spent Output Age Bands The 6-12 month spent output age band reveals instances where long-held Bitcoin is moved, offering a glimpse into shifting market behavior. According to XBTManager, a significant amount—49,700 BTC—has recently been spent in this category today. Such substantial movement can often precede market volatility, as it may signal larger holders or dormant wallets re-entering active circulation. This sudden activity raises questions about how the market might react. Historically, large movements in older Bitcoin holdings can create temporary selling pressure. If these coins are sold, it can lead to short-term further price drops, potentially causing retail investors to panic. However, this downward trend can also set the stage for a rebound, with prices recovering as buyers absorb the new supply. The analyst wrote: A large portion of these Bitcoins is expected to be sold in the coming days, potentially creating selling pressure in the market. This could cause retail investors to panic and sell at lower prices. Subsequently, prices might be pushed back up, enabling these Bitcoins to be sold to retail investors at higher prices. Therefore, such movements can be seen as signs of market manipulation. Investors should remain cautious about potential market fluctuations in the coming days. Bitcoin Market Performance Meanwhile, Bitcoin continues to face selling pressure, with the asset unable to sustain a notable rebound or reclaim key levels. So far, Bitcoin has seen quite a plunge dropping roughly 10% from its all-time high above $109,000 registered in January. Related Reading: Bitcoin Traders Fearful For First Time Since October: Buying Signal? In the past week, the asset has also declined 3.5% bringing its price to trade at $98,485, at the time of writing down by 0.5% in the past day. This price decline in BTC has affected the broader crypto market significantly with over $3 billion liquidated in the crypto market in just the past few days. Interestingly, despite this negative price performance from BTC, the asset’s daily trading volume has however seen an opposite trend recording an increase from below $40 billion this time last week to sitting above $58 billion as of today. Featured image created with DALL-E, Chart from TradingView

Bitcoin price performance over the past week has been marked by volatility and mixed signals for investors. After briefly rising above the $100,000 price mark on Tuesday, BTC has since fallen back and now hovers just above $99,000. The rebound that initially raised market sentiment appears to have been short-lived, as the cryptocurrency struggles to regain the upward momentum needed to break through higher resistance levels. Related Reading: Why Bitcoin’s Price Crash Could Be a Buying Opportunity for Big Players Bitcoin Smart DCA Flashes—What This Means While BTC faces these ups and downs, Darkfost, a contributor on CryptoQuant’s QuickTake platform, highlighted a potential opportunity for investors employing a dollar-cost averaging (DCA) strategy. According to Darkfost, the Smart DCA indicator was recently triggered, suggesting that current price levels may be a “favorable” entry point for those looking to accumulate BTC over time. Darkfost explained that by comparing Bitcoin’s average price to its short-term realized price—ranging from one week to one month—this indicator aims to identify optimal zones for long-term accumulation. The analyst added: When executed properly, a DCA strategy can generate substantial returns in the short, mid, or long term, depending on the investor’s goals. However, this indicator should be used alongside other metrics and a broader market analysis for optimal accuracy and effectiveness. Signs of Bullish Momentum Emerge While short-term price fluctuations have rattled some investors, other analysts point to underlying trends that hint at bullish potential. Another CryptoQuant analyst, Onatt, observed that buyer activity is beginning to outweigh selling pressure. Related Reading: After The Bitcoin Crash: Will It Rise Or Drop Again? 5 Key Indicators Using data from Coinbase, Onatt noted a visible premium indicating strong demand for Bitcoin, even in the face of recent volatility. Furthermore, negative funding rates—driven by approximately $2 billion in long liquidations—suggest a market environment where buyers are taking advantage of discounted prices to position themselves for a potential upward movement. Onatt also explained: Bitcoin’s upward momentum remains likely as long as USDT dominance stays below 4.65%, signaling continued market confidence and potential for further recovery. Adding to this sentiment, analyst Ali identified a critical demand zone for Bitcoin between $96,475 and $99,360. According to Ali, as long as this range holds as a support level, the market outlook favors the bulls. A breakout above the $102,350 to $103,900 supply zone could further strengthen the bullish case, potentially setting the stage for a sustained recovery. #Bitcoin $BTC has reclaimed a critical demand zone between $96,475 and $99,360 as support. As long as this level holds, the odds favor the bulls; especially if the $102,350–$103,900 supply wall breaks. pic.twitter.com/FLpwRqYVuu — Ali (@ali_charts) February 4, 2025 Featured image created with DALL-E, Chart from TradingView

Bitcoin market activity over the past day has been marked by turbulence, with its value falling to as low as $90,000 levels earlier today before rebounding to just above $94,000. Despite this partial recovery, the cryptocurrency remains down 5.8% over the past week and more than 13% below its all-time high of $109,000, reached in January. This recent price movement has led a CryptoQuant analyst to suggest that Bitcoin may be transitioning into a distribution cycle, a phase where price gains start to slow as supply shifts toward newer market participants. Related Reading: Bitcoin Price Is Trading In This Bearish Flag — What’s The Downside Target? Bitcoin Transitioning From Accumulation to Distribution The analyst known as Oinonen, discussed the current state of Bitcoin’s market cycle in a recent post titled “Entering the Distribution Cycle.” Oinonen noted that after gaining 129.2% over the past year and surpassing $100,000, Bitcoin might be nearing a “cycle top.” He cited comments from Ki Young Ju, who suggested that the market is in the “early distribution phase” and could potentially see a few more quarters of growth, influenced by retail investors entering the market and broader promotional efforts. Applying Dow Theory to Bitcoin’s recent market patterns, Oinonen explained that the cryptocurrency’s market movements can be divided into accumulation and distribution phases. He pointed out that while 2022 represented a clear distribution cycle, Bitcoin transitioned into an accumulation cycle in 2023, which extended through 2024. Now, as 2025 unfolds, Bitcoin appears to be shifting back into a distribution phase. Despite this shift, Oinonen emphasized that the market still has the potential for further price discovery, citing relatively low funding rates and a lack of overleveraged conditions. Price Supports and Future Outlook Oinonen also cited Axel Adler Jr, another market observer, who shared similar sentiments, noting that Bitcoin’s current market environment is not overheated and retains the potential for additional growth under stable macroeconomic conditions. This view is supported by the ongoing institutional demand reflected in MicroStrategy’s recent Bitcoin purchases. The company has continued its pro-cyclical acquisition strategy, adding 10,107 bitcoins in early 2025 and bringing its total holdings to 471,107 BTC. Related Reading: Bitcoin Eyes $108K: Can Bulls Sustain Momentum Against Bearish Signals? This sustained institutional interest serves as a leading indicator of market confidence and highlights Bitcoin’s continued appeal as a long-term investment. Oinonen mentioned that as Bitcoin hovers near its “fair price” support level of $87,990—identified by its power-law fit—further developments should be watched out for. The analyst added: Despite the approaching distribution cycle, Bitcoin might still reach significantly higher spot price levels. Bitcoin’s funding rate is relatively low and comparable to summer 2024 levels. We’re far from an overleveraged market, and the structure supports further spot price discovery. Featured image created with DALL-E, Chart from TradingView

Bitcoin (BTC) has experienced a significant drop, with its value plunging to $91,000 in the early hours of Monday. The decline follows unfavorable macroeconomic developments, including newly imposed US tariffs. This price movement has left investors and analysts closely scrutinizing the market for signs of a reversal or further downturn. According to a recent analysis by CryptoQuant analyst TraderOasis, Bitcoin’s decline below critical support levels has resulted in increased panic selling. Despite this, the Coinbase premium index indicates that institutional investors are continuing to accumulate BTC rather than offloading their holdings. This contrast between retail-driven selloffs and institutional accumulation suggests that larger players are using the current dip to boost their positions. Related Reading: Analyst Says Bitcoin Is Bullish But It’s Time For Caution Bitcoin Market Dynamics And Institutional Activity TraderOasis highlights several key market indicators that shed light on the current dynamics. Open interest—a measure of active trading positions—has dropped significantly, pointing to a wave of forced liquidations as leveraged traders exit their positions. Oasis wrote: A drop in funding rates suggests that market participants are taking short positions (betting on a price decrease) and that bearish sentiment is increasing. Notably, this ongoing pattern described by the analyst hints at a strategic accumulation phase by so-called “whales,” or large-scale investors. Oasis mentioned that while retail traders face stop-loss liquidations, these larger entities appear to be absorbing Bitcoin at discounted prices. This accumulation during periods of panic is not uncommon and often precedes a market recovery. Rising Liquidations and Signs of Recovery Another CryptoQuant analyst, Mignolet, echoed these observations, emphasizing the scale of recent long-position liquidations. The current liquidation volume is reportedly the highest since September 2023, with many traders caught off guard by the abrupt price drop. Mignolet compares this event to past market shocks, including the FTX collapse and the COVID-induced crash. The market has been cleaned out “BTC price drop shock has led to the largest liquidation of long positions in recent times… The market has been cleansed, and the open interest trend has finally broken down” – By @mignoletkr Link ????https://t.co/fYs10fAIo6 pic.twitter.com/27znZMRzqs — CryptoQuant.com (@cryptoquant_com) February 3, 2025 Related Reading: Crypto Traders Wrecked As Trump’s Tariffs Spark $2 Billion Liquidation Despite the significant liquidations, there are signs of optimism on the horizon. The Coinbase Premium Gap (CPG) data points to aggressive buying by institutional investors, who are capitalizing on the sudden influx of liquidity.  While the market remains volatile, this accumulation activity suggests that larger players anticipate a reversal soon. Featured image created with DALL-E, Chart from TradingView

The price of Ethereum (ETH) has shown some significant change in the past day rising by 1.86%. However, according to trading data from CoinMarketCap, the popular altcoin has recorded negative growth since December 2024 despite some significant gains in the past month. Interestingly, underlying market activity points to a potential price breakout. Related Reading: Ethereum Price Spikes 5% In A Day—Will the Rally Continue? Ethereum Sees Strong Accumulation Activity Amid Price Dip Ever since touching the $4,000 price mark, Ethereum has slipped into a downtrend falling as low as $3,000. Amidst notable gains by Bitcoin in January, Ethereum continues to struggle hitting consistent lower lows during this period. However, a CryptoQuant market expert with the username Crypto Sunmoon has noted an increase in market buying volume amidst the current price dip indicating a bullish divergence in the ETH market. For context, a bullish divergence occurs when an asset’s price is making lower lows while a momentum indicator is making higher lows, thereby hinting at a potential reversal or upward movement. As for Ethereum, the increase in buying volume amid falling prices indicates a strong demand from buyers especially at the current price levels. This development further suggests a strong confidence in the asset’s profitability as investors expect buying pressure to surpass selling activity in the coming days. Based on historical data, Crypto Sunmoon predicts Ethereum may experience a price surge such as the one in May 2024 when a similar bullish divergence last occurred. During that month, ETH rose by over 21% suggesting the altcoin will likely return to $4,000 if the projected price breakout occurs, according to current market prices. Related Reading: Ethereum Price Forms Falling Wedge Pattern On 1-Day Chart That Suggests 20% Rally Is Coming ETH Long-Term Holders Signal Strong Market Confidence  In other news, IntoTheBlock reports that long-term holders of Ethereum currently boast an average holding time of 2.4 years showing massive confidence in Ethereum’s future value potential. However, Ethereum faces other issues including an absence of short-term participants which prevents ETH from experiencing significant levels of speculative trading that can drive up price appreciation. Furthermore, the rapid growth of layer 2 solutions such as Optimism, and layer 1 blockchains such as Solana are also tampering with the potential market demand and attention for Ethereum. At press time, ETH trades at $3,306 after a gain of 1.86% over the past day as earlier stated. Meanwhile, the asset’s daily trading volume has increased by 55.69% resulting in a value of $30.3 billion. On larger time frames, Ethereum is also up by 0.22% on its weekly chart but down by 2.27% on its monthly chart leaving much to desire for many short-term investors. Featured image from iStock, chart from Tradingview

Bitcoin price has regained upward traction, trading back above $105,000 after a temporary dip below $104,000 earlier today. This 1.2% increase over the past hour reflects renewed optimism in the market. Amid this price performance, Crypto Dan, a CryptoQuant analyst has shared his analysis of on-chain data and market behaviors that may shape Bitcoin’s trajectory in the weeks and months ahead. Related Reading: Bitcoin Outflows Signal Bullish Strength As Demand Remains High At $100K – What This Means Bitcoin Bullish Market But Caution According to Dan, the amount of Bitcoin held for less than six months continues to show notable growth with each market cycle. This trend suggests that as Bitcoin’s appeal widens, new capital inflows—particularly from the expected introduction of Bitcoin spot ETFs—could further drive demand. Dan anticipates that both institutional and retail investors will ramp up their involvement as these ETFs gain traction by the first half of 2025. Additionally, while current indicators remain bullish, Crypto Dan warns that surging interest in Bitcoin and altcoins, paired with an influx of new investors, could signal that the current cycle may be nearing its peak. If Bitcoin pushes through its all-time high with significant momentum, and altcoins follow suit, it could trigger a wave of inflows that may mark the cycle’s final stages. Dan advises investors to start considering risk management strategies. The Crypto Market Remains Bullish… But It’s Time for Caution “If Bitcoin breaks through its all-time high with strong momentum and altcoins follow suit, triggering a wave of new investor inflows, it may indicate that the end of the cycle is approaching.” – By @DanCoinInvestor… pic.twitter.com/NvKB8Ly1DE — CryptoQuant.com (@cryptoquant_com) January 31, 2025 Diverging Inflows from Retail and Whales This cautionary note is reinforced by observations from another CryptoQuant analyst, Darkfost, who highlights a discrepancy in the behavior of retail investors and whales. According to recent Binance data, retail investors have significantly increased their BTC deposits over the past month, with inflows reaching approximately 6,000 BTC. In contrast, whale activity on Binance has dwindled, with their BTC inflows dropping to around 1,000 BTC—a fourfold decrease. Darkfost notes that retail investors often use exchanges to liquidate their holdings, whereas whales’ reduced inflows suggest they are holding onto their Bitcoin. Related Reading: Bitcoin Price Enters Ascending Phase After Cup And Handle Formation At $105,000, Here’s The Next Target This contrasting behavior offers insights into broader market sentiment: retail participants appear eager to capitalize on short-term gains, while larger, more established investors maintain a more cautious stance. Historically, following whale behavior rather than retail trends has provided a more reliable signal for long-term market moves. Darkfost highlighted this noting: This is a perfect example of the contrasting behaviors between whales and retail traders and it is often considered a better choice to follow whales rather than retail investors Featured Image created with DALL-E, Chart from TradingView

Bitcoin has recently faced a slowdown in its upward trajectory after reaching over $105,000 earlier this week. The cryptocurrency had shown signs of a potential breakout, but key indicators have come into focus as the market evaluates its next move. The latest insights from analysts have raised questions about whether Bitcoin’s market momentum can overcome the resistance level at $108,000, its previous all-time high. Related Reading: MVRV Ratio Reveals Bitcoin’s Market Position Amid Short-Term Selling Pressure Analyzing Bitcoin’s Market Indicators Amid the price performance from BTC, CryptoQuant analyst ShayanBTC has provided insights on the challenges and possibilities ahead for Bitcoin. Shayan noted that despite Bitcoin’s recent price increases, the funding rates—a critical on-chain indicator—have started to decline. This bearish divergence suggests that demand in perpetual markets may be weakening, casting doubt on whether the current bullish momentum is sufficient to push Bitcoin above its all-time high. Particularly, one of the primary hurdles for Bitcoin’s price to surpass $108,000 is the lack of strong market enthusiasm, as reflected in the funding rates. According to Shayan, typically, rising funding rates indicate an increase in long positions and market optimism. However, the current decline in these rates signals that traders are hesitant to bet on further price increases. Shayan emphasized that without a significant boost in optimism and a greater influx of long positions, Bitcoin’s resistance at $108,000 could hold firm, potentially leading to a consolidation phase or even a temporary price rejection. The analyst wrote: For Bitcoin to decisively breach $108K, the funding rates must rise further, signaling an increase in optimism and a greater influx of long positions. Without this market-wide enthusiasm, the resistance at $108K could hold, leading to potential consolidation or a temporary rejection. Indication from Long-Term Holders Metric On the other hand, long-term holders—investors who have maintained their Bitcoin holdings for seven years or more—have shown no inclination to sell their assets. Another CryptoQuant analyst reporting this in a post on the QuickTake platform noted: Holders who have held bitcoin for seven years or more sold some of their holdings before the end of the previous bull market. Long-term bitcoin holders have not yet moved their holdings to exchanges. This behavior highlights a trend seen in previous market cycles: long-term holders often remain resilient through price fluctuations, providing a steady base of support for the cryptocurrency. Related Reading: Bitcoin Price Enters Ascending Phase After Cup And Handle Formation At $105,000, Here’s The Next Target The decision of these holders to keep their Bitcoin off exchanges suggests confidence in the asset’s long-term value, even as short-term market sentiment fluctuates. Featured image created with DALL-E, Chart from TradingView

The stablecoin market has grown by almost $40 billion since President Trump won the U.S. election.

While the broader cryptocurrency market appears to be gradually recovering, Toncoin (TON) has yet to join the upward trend. Over the past week, TON has faced significant challenges, seeing its price dip by 5.4%. Amid this price performance, a CryptoQuant analyst has highlighted signs of a potential reversal, especially as recent data sheds light on underlying market dynamics that could impact the coin’s near-term trajectory. Related Reading: Is Toncoin Price Gearing For A Rebound At $5? This On-Chain Metric Suggests So Toncoin Open Interest and Potential Reversal Signals The CryptoQuant analyst Joao Wedson has provided an intriguing perspective. In a recent post titled “TON: Signs of a Reversal?” Wedson highlighted a pattern within the open interest data that could hint at a price rebound. This analysis comes at a critical time, with market participants seeking any indicators that TON might stabilize and regain lost ground. Wedson’s analysis centers around the weekly variation in Toncoin’s open interest—a measure of the total number of outstanding derivatives contracts on the asset. According to the data, the open interest delta has shown a consistent increase whenever TON experiences volatility spikes. Historically, these patterns have been observed ahead of significant price surges, raising the possibility that a similar recovery could be on the horizon. TON: Signs of a Reversal? “We’ve observed a pattern where the Open Interest Delta increases with each volatility spike—a behavior that previously preceded a sharp price surge.” – By @joao_wedson Full analysis ????https://t.co/FC8q4QYIp6 pic.twitter.com/5luN5VojDn — CryptoQuant.com (@cryptoquant_com) January 29, 2025 TON Market Performance In recent weeks, TON’s price action has been noticeably less bullish. Even as the broader cryptocurrency market experiences gradual gains, TON has struggled to recover, consistently declining and now down roughly 11% over the past two weeks. This divergence from the broader market’s upward momentum may suggest that TON is facing its own bearish pressures, whether driven by chart patterns or on-chain factors. Related Reading: Toncoin Gears Up For A Fresh Rally With Bullish Momentum Building For instance, Renowned crypto analyst Ali recently highlighted that TON has faced significant transfers to exchanges signaling increasing sell-offs. Over 240,000 #Toncoin $TON have been transferred to exchanges in the past week, potentially signaling increased selling pressure as shown by on-chain data from @santimentfeed! pic.twitter.com/FF9BBEMJzL — Ali (@ali_charts) January 29, 2025 Although TON is trading at $4.84 as of now, up 0.4% on the day, this small increase has not been enough to lift the asset out of its current correction. The continued decline in TON’s price has not only reduced its market capitalization but also significantly diminished its daily trading volume. Featured image created with DALL-E, Chart from TradingView

Bitcoin (BTC) has shown a swift recovery, climbing back above $95,000 after experiencing a notable dip below this level just a day prior. This price rebound has reignited discussions among analysts about the underlying market dynamics and potential future trends. Recent insights from CryptoQuant contributors shed light on key metrics influencing Bitcoin’s price behavior, focusing on the Market Value to Realized Value (MVRV) Ratio. Related Reading: Bitcoin Short-Term Holders Now Capitulating: Bottom Here? Current Stance On MVRV Ratio And Its Implications For Bitcoin The MVRV Ratio is a widely used metric that measures Bitcoin’s market value relative to its realized value. It can be used to identify whether the market is overbought or oversold. CryptoQuant analyst KriptoBaykusV2 has analyzed the current MVRV Ratio, which stands at 2.2, indicating a balanced market state. This metric offers valuable insights into Bitcoin’s price cycles, shedding light on historical overbought and oversold conditions. The MVRV Ratio is calculated by dividing Bitcoin’s market value (the total Bitcoin supply multiplied by its current price) by its realized value (the aggregate value of all Bitcoins based on their last movement price). This ratio provides insight into the profitability of Bitcoin holders, helping to gauge market sentiment. Historically, an MVRV above 3 has signaled overbought conditions with higher correction risks, as seen during the 2017 and 2021 bull runs. Conversely, an MVRV below 1 has identified oversold zones, marking potential buying opportunities during bear markets like those in 2018 and 2020. Currently, with the MVRV Ratio at 2.2, the market is in a neutral state, suggesting neither overbought nor oversold conditions. This indicates a balanced environment with the potential for trend shifts. According to KriptoBaykusV2, the MVRV Ratio’s position provides critical signals for both short-term traders seeking tactical opportunities and long-term investors aiming for strategic positioning. Selling Pressure and Short-Term Market Trends Meanwhile, another CryptoQuant analyst, G a a h, highlighted the prevailing short-term selling pressure affecting Bitcoin’s market dynamics. The Take Buy Sell Ratio indicator reveals that selling activity outweighs buying, suggesting that supply currently exceeds demand. This trend is often observed during profit-taking phases near resistance levels, resulting in price corrections or sideways trading. Additionally, short-term holders are reportedly liquidating positions, with many sales occurring at little to no profit. This behavior contributes to increased market volatility and short-term downward pressure on Bitcoin’s price. Although Bitcoin has seen a quick recovery in price now trading above $96,000, G a a h wrote: On the price chart, a bearish structure is forming with a high probability of continuation given the circumstances in the data presented. Featured image created with DALL-E, Chart from TradingView

Bitcoin is showing signs of a gradual recovery following its earlier pullback. After dipping below the $100,000 mark, the cryptocurrency has regained ground, currently trading above $102,000. This represents a 6.3% increase over the past two weeks. Amid this upward trajectory, a CryptoQuant analyst has assessed the patterns of Bitcoin’s realized capitalization and UTXO age bands for clues about what might come next. Related Reading: Bitcoin Hovers Above $104K—Analyst Reveals What’s Next Based on Funding Rates What the Data Suggests About Bitcoin’s Future IT Tech, a contributor to the CryptoQuant QuickTake Platform, recently shared insights on Bitcoin’s current cycle behavior. According to the analysis, the proportion of younger UTXOs—coins that have moved recently—has begun to rise. Historically, high levels of younger UTXOs have coincided with cycle tops, as seen during the peaks of 2013, 2017, and 2021. Although the current cycle has not yet reached these extreme levels, the increase in younger UTXOs suggests that newer market entrants are becoming more active. According to IT Tech, based on historical trends, a high proportion of young UTXOs typically signals increased speculation, which can lead to heightened volatility and a potential market top. If this trend continues, Bitcoin could see another leg up before significant distribution takes place. Conversely, if long-term holders maintain their positions, the current rally may still have room to grow. IT Tech emphasized that while current indicators point to increased market activity, the younger UTXO levels remain below historical peaks. Bitcoin’s Next Move: Are We Approaching a Cycle Top or Just Gaining Momentum? “Suggests that we are entering a phase of increased market activity, but the proportion of young UTXOs is not yet at the historical peak levels.” – By @IT_Tech_PL Link ????https://t.co/fVO3Kuavlw pic.twitter.com/pxegbBrpBX — CryptoQuant.com (@cryptoquant_com) January 28, 2025 This provides room for Bitcoin to continue its upward trajectory, but market participants should remain vigilant. IT Tech concluded by noting: The chart suggests that we are entering a phase of increased market activity, but the proportion of young UTXOs is not yet at the historical peak levels. This could mean that Bitcoin still has room for further upside, but traders should closely monitor the ratio of young coins to long-term holdings for potential warning signs of a top. Bitcoin Market Performance At the time of writing, Bitcoin trades at a price of $102,768 marking a 1.3% increase in the past day. This slight surge in price has boosted BTC’s market cap back above $2 trillion—a notable surge from $1.96 trillion seen on Monday. Interestingly, despite this increase, Bitcoin’s daily trading volume has seen an opposite trend currently sitting at a valuation of $50.2 billion, a notable decrease from over $100 billion seen last week. Featured image created with DALL-E, Chart from TradingView

Bitcoin has experienced a rollercoaster start to the week, briefly dipping below the $100,000 mark in the early hours of Monday before recovering slightly. This correction came after Bitcoin achieved a new all-time high above $109,000 last week, marking a milestone in the cryptocurrency’s ongoing bull run. At the time of writing, Bitcoin’s price has climbed back above $100,000, leaving investors speculating whether the asset will resume its upward trajectory or enter a prolonged consolidation phase. Amid this, Burak Kesmeci, a contributor to CryptoQuant’s QuickTake Platform. Kesmeci recently highlighted intriguing trends in Bitcoin’s trading volume on Binance, suggesting that current selling pressure may be “easing.” Related Reading: Bitcoin’s Latest ATH: Is The Top Finally In Or Just Getting Started? Taker Sell Volume Shows Signs of Stabilization Kesmeci’s analysis focuses on the Taker Sell Volume metric on Binance, which has shown a noticeable uptick in recent sessions. Historically, Taker Sell Volume spikes have signaled heightened selling activity, eventually giving way to buying momentum. Kesmeci notes that these episodes often coincide with local bottoms as sell orders are completed and new buy orders start to flow in. However, in the past week, hourly data shows a pattern of lower highs in Taker Sell Volume, indicating a gradual decline in selling pressure. This trend suggests that as major sell orders are fulfilled, the influence of sellers is waning, potentially paving the way for renewed buying interest. According to the analyst, if this pattern holds, Bitcoin could be poised for another rally, contingent on sustained buyer engagement at current price levels. What The Stablecoin Market Current Stance Signal For Bitcoin While Kesmeci’s analysis offers a promising outlook, other factors contribute to a more cautious market environment. A separate post by analyst Avocado Onchain highlights the shifting dynamics of stablecoin flows. USDC deposits into exchanges have surged, potentially signaling increased interest in digital assets. However, this influx coincided with Bitcoin’s price falling back below $100,000. Avocado also points to a negative Coinbase Premium, a metric that reflects US-led buying momentum. With this indicator showing weakness, the expected strong support from US investors has yet to materialize. Meanwhile, market sentiment has been influenced by speculation over a potential bubble in US AI tech stocks, as well as concerns about broader corrections in risk assets. Related Reading: Bitcoin Sudden Breakdown: Price Falls Below $100,000 Support Under these conditions, Avocado highlighted that Bitcoin may face an extended consolidation period before resuming its upward climb. The analyst wrote: Bitcoin is more likely to undergo a substantial consolidation period before showing signs of recovery, rather than rebounding in the short term. Thus, it is important to approach the market with a long-term perspective rather than a short-term one. I remain optimistic about Bitcoin셲 long-term outlook. Featured image created with DALL-E, Chart from TradingView

The cryptocurrency market was in a somewhat uncertain phase over the past week following the inauguration of Donald Trump as President of the United States. This uncertainty is demonstrated by the diverse performance of various assets in the market. The Toncoin price, for instance, experienced an almost 9% price decline in the last seven days, giving emphasis to the bearish half of the market. According to the latest on-chain data, the cryptocurrency might be preparing for a price rebound after its recent struggles. Is It Time To Buy Toncoin? In a Quicktake post on the CryptoQuant platform, an analyst with the pseudonym Maartunn shared their latest on-chain observations and how it could offer into TON’s price trajectory. The relevant metric here is the Normalized Risk metric (NRM), which evaluates the price risk of an asset compared to its historical price data. Related Reading: XRP Consolidates Near Key Levels: The Implications Of A Breakout This on-chain indicator can be used to determine whether a cryptocurrency (Toncoin, in this case) is in a favorable or unfavorable risk position. Typically, the value for the Normalized Risk metric ranges from 0 to 1, with values closer to 0 signaling lower risk while values closer to 1 signaling higher risk. As observed in the highlighted chart, the Normalized Risk’s value is currently closer to zero, implying that the TON price is approaching the low-risk territory. Historically, low values of this metric have been correlated with local price bottoms for Toncoin. For example, the price of TON slumped to around $5.3 before climbing to $6.8 in August 2024 while the Normalized Risk metric was well beneath 0.1 at the time. Similarly — about a month later, the altcoin’s price jumped to $5.9 after sliding down to $4.6 while the Normalized Risk indicator was around 0.1. Nevertheless, Maartunn noted that it may take some time for this indicator to “fully bottom out and reach its lowest risk level.” Nevertheless, recent on-chain data suggests that the Normalized Risk metric is nearing a key turning point, implying a strong rebound might be on the cards for the TON price. TON Price Overview As of this writing, the price of Toncoin stands at around $5.08, reflecting a mere 0.7% increase in the past 24 hours. This sluggish single-day action underscores the uncertainty in the market — and to be frank, Toncoin’s struggles over the past few weeks. Related Reading: Solana Compresses Near Previous ATH – Gearing Up For The Next Leg Higher? The TON price has been unimpressive on broader timeframes, failing to successfully break above the $6 mark in the past month. According to data from CoinGecko, the altcoin’s value has declined by nearly 15% in the past month.   Featured image from Unsplash, chart from TradingView

In the past months, Bitcoin has broken multiple resistance levels to achieve consistent all-time highs each month. So far, the asset’s latest all-time high sits above $109,000 marking a more than 150% increase in year-over-year performance. Amid this price performance, CryptoQuant analyst Gaah has recently examined Bitcoin’s current position in the market cycle and whether the asset might be nearing a peak. Related Reading: Bitcoin Profit-Taking Drops 93% From December Peak – What’s Next For BTC? Bitcoin: Is The Top In? According to Gaah’s analysis, the Index of Bitcoin Cycle Indicators (IBCI)—a composite metric that includes on-chain data points like the Puell Multiple, MVRV, NUPL, and SOPR—has entered the “distribution region” for the first time in eight months. While this doesn’t “yet confirm a market top,” it serves as a cautionary signal that Bitcoin could be approaching the final stages of its current bull cycle. For IBCI to hit a definitive top, all its components would need to reach their historical peak levels, according to the analyst. However, as long as the IBCI remains above 50%, the broader market trend remains bullish, indicating continued demand and the potential for further price increases. Beyond the IBCI, Gaah notes that additional on-chain indicators present a mixed picture. While the NUPL metric hovers near its upper range, suggesting a possible end to the bull run, the Puell Multiple remains closer to the lower zone, which could indicate room for continued growth. This interplay of signals suggests that the market may not have reached a definitive top just yet. According to Gaah, historically, a fully realized IBCI peak has preceded corrections and longer-term bear phases. However, the current position offers room for optimism, provided that demand remains strong and other indicators remain supportive. Related Reading: Bitcoin Capital Inflows See Notable Slowdown, But Is This A Worry? Another Diverging Interpretation In contrast to Gaah’s cautious perspective, another CryptoQuant analyst, Burak Kesmeci, highlights a different scenario using the Bitcoin NVT Golden Cross. This metric, designed to spot local tops and bottoms, recently fell to its lowest point in 60 days, signaling a potential “local bottom.” Kesmeci explains that historically when the NVT Golden Cross drops below -1.6, it often indicates that the asset is trading within a bottom range. As Bitcoin recently pulled back by about 7.5% after reaching its all-time high, the metric’s current reading could be a precursor to renewed upward momentum. Kesmeci wrote: Rather than indicating a specific price level, this metric suggests that Bitcoin may be trading within a local bottom zone. Historically, such signals have often preceded recovery and trend reversals, making it an important indicator to monitor. Featured image created with DALL-E, Chart from TradingView

Following Donald Trump’s inauguration on January 20th, Bitcoin (BTC) has remained range-bound, trading between $101,000 to $110,000. However, a new report by CryptoQuant states that behind this routine price action, Bitcoin ‘whales’ are quietly back to accumulating the premier cryptocurrency. Bitcoin Whales Back In Accumulation Mode According to the report, large BTC holders – commonly referred to as Bitcoin ‘whales’ – have re-entered the accumulation phase. Recent data shows a significant uptick in the monthly percentage growth of BTC holdings among these large investors. Related Reading: Bitcoin Price Forecast Of $150,000 ‘Too Low’ Amid Rising Adoption, Crypto Trader Says Notably, Bitcoin whale holdings increased from a decline of -0.25% on January 14 to a growth of 2% by January 17, marking the highest monthly growth rate since mid-December. In absolute terms, these investors’ BTC holdings rose from 16.2 million on November 4 to 16.4 million as of January 24. The surge in whale accumulation appears to be driven by several bullish developments early in Trump’s administration. For example, the US president has already signed an executive order establishing a Working Group on Digital Asset Markets. This Working Group has been tasked with proposing a federal regulatory framework for cryptocurrencies – including stablecoins – within six months. Additionally, the group will evaluate the potential creation of a national digital asset stockpile, fueling speculation about a potential US strategic Bitcoin reserve. Besides growth in whale holdings, selling pressure for BTC has declined sharply since major profit-taking in December. This aligns with a recent report which found that BTC profit-taking has dropped by 93% from its December peak. The report reads: Bitcoin holders realized daily profits as high as $10 billion as Bitcoin approached $100K in December. However, daily realized profits have fallen to levels around $2-$3 billion in January, which indicates market participants may have finished selling Bitcoin for the most part. Moreover, the traders’ unrealized profit margins have declined near zero, a level which typically marks a price floor during bull markets. However, the report also highlights that overall Bitcoin spot demand has weakened over the past month, raising concerns about the likelihood of another bullish rally. Specifically, the rate of demand growth for Bitcoin has fallen from 279,000 BTC in early December to just 75,000 BTC at the time of writing. Analysts Confident Of Another BTC Rally Despite the cooling of on-chain demand, crypto analysts remain optimistic about another major price rally for Bitcoin. For instance, a recent report suggested that BTC could target a price as high as $249,000 during Trump’s presidency. Related Reading: Could Bitcoin Hit Its Peak In Summer 2025? Analysts Weigh In Another report by Bitfinex predicted that BTC is likely headed to $200,000 by mid-year amid mild price pullbacks. However, a lot depends on how the US Federal Reserve handles interest rate adjustments this year. From a technical standpoint, BTC’s cup-and-handle pattern projects a price target of as high as $275,000. At press time, BTC trades at $106,074, up 0.1% in the past 24 hours. Featured image from Unsplash, Chart from TradingView.com

Ethereum is now demonstrating steady price growth, posting a 6% rise in the past day as the broader cryptocurrency market rallied. This upward momentum follows news of a US executive order establishing a national digital asset stockpile, contributing to a positive market environment. Amid this backdrop, CryptoQuant analyst ShayanBTC has provided a fresh perspective on Ethereum’s current trajectory. Shayan highlights an interesting divergence between the increasing open interest in Ethereum futures and the price, which has yet to reach previous highs. Related Reading: Ethereum’s Price Stalls Below $3,500 as Leverage Ratios Climb—What Next? Growing Futures Market and Divergent Price Action According to Shayan in a post recently uploaded on the CryptoQuant QuickTake platform, Ethereum’s open interest—an indicator of active futures contracts—has surged to its highest levels in recent weeks, indicating heightened market participation and growing interest among traders. The analyst notes that the rise in ETH’s open interest and slow price response suggests a disconnect between market sentiment and price performance. While futures traders appear optimistic, this optimism has not yet translated into Ethereum breaking key resistance levels. The analyst wrote: Interestingly, there is a divergence between Ethereum’s price and futures market activity. Despite the significant increase in open interest, the price has yet to break its previous highs, showcasing a potential imbalance between market expectations and price action. Shayan also notes that elevated open interest could lead to volatility. Historically, large buildups in open interest have been followed by significant price swings as positions are liquidated. Although the direction of the next move remains uncertain, current activity and sentiment lean toward a potential bullish breakout. Shayan suggested that if Ethereum can surpass critical resistance, it could pave the way for a more prolonged rally. Market Concerns And Bearish Indicators In contrast, another CryptoQuant analyst, Darkfost, presents a more cautious outlook. Darkfost points to a range of bearish factors, including increasing Ethereum inflows and reserves on Binance. According to the data shared by Darkfost, since September 2024, Ethereum inflows have consistently outpaced outflows, leading to a rise in exchange reserves. This trend reflects selling pressure, as more Ethereum is moved to exchanges, potentially indicating an intent to sell rather than hold. Related Reading: Ethereum Price Revival: What the Signs Say About Its Next Move Additionally, Binance’s taker buy-sell ratio has remained bearish for months, showing a consistent dominance of sell orders. Darkfost reveals that the shift in these metrics suggests that some investors may be locking in profits or reallocating capital elsewhere, leading to a more cautious market sentiment. Featured image created with DALL-E, Chart from TradingView

Bitcoin (BTC) has shown notable recovery since this week began, climbing back above $100,000 and now trading at $104,430. This upward move represents a 4.9% daily gain and more than a 10% increase over the past week. Analysts have been examining this rally closely, noting that it mirrors patterns observed in past market cycles. Specifically, the role of market pullbacks—often seen as discouraging by short-term investors—has emerged as a critical factor behind Bitcoin’s long-term strength. Related Reading: Is Bitcoin’s Upward Cycle Back? Key Insights Into The Latest Recovery Bitcoin Larger Rally Ahead, Here’s Why According to datascope, a contributor to CryptoQuant’s QuickTake platform, Bitcoin’s most significant rallies have frequently originated in so-called “bear zones.” These are periods when the market dips sharply, and sentiment turns pessimistic. However, the analyst emphasizes that these pullbacks are more than just periods of loss; they are times when patient investors can position themselves for future gains. The current recovery, as the analyst explains, aligns with a historical pattern where Bitcoin tends to emerge stronger after periods of sharp declines. Datascope wrote in a post on the CryptoQuant QuickTkake platform: When we look at Bitcoin’s pullbacks, a fascinating pattern emerges! What happens in those red-marked zones? The market takes a dive into the “bear zone,” and it feels like all hope is lost. But this is exactly where the magic begins!. By examining past performance, datascope found that Bitcoin’s strongest upward moves have historically followed these bearish periods. Rather than panic-selling, holding steady during these moments has proven advantageous for those looking to capitalize on the eventual market rebound. According to the analyst, “these patterns highlight the importance of market psychology and the power of patience.” Datascope concluded by noting: The takeaway is simple: if you can read Bitcoin’s ups and downs, pullbacks don’t have to be scary—they can be opportunities. While red zones might initially seem discouraging, history proves that the rebounds from these levels are often far more impressive. Patience wins! Coinbase Premium Index Signals Bullish U.S. Sentiment Meanwhile, another reason why Bitcoin’s ongoing recovery could lead to a larger rally is the fact that Coinbase Premium Index (CPI), has returned to positive territory for the first time since early January. This metric reflects the difference between Bitcoin’s prices on Coinbase and other exchanges, often seen as a gauge of US investor sentiment. The recent move into positive territory suggests that American buyers are reclaiming market influence, potentially driving Bitcoin’s recent gains. Related Reading: Crypto Fear And Greed Index Barrels Toward Extreme Greed Again As Bitcoin Price Clears $101,000, Is This Good News? Burak Kesmeci, another contributor to CryptoQuant, observed that US investors are showing renewed interest in Bitcoin as the inauguration of the new administration approaches. Kesmeci noted that the positive CPI readings indicate a market dominated by buyers on both daily and hourly timeframes. This shift in sentiment comes as Bitcoin reclaims the $100,000 milestone and may signal a broader trend of optimism among US investors. Featured image created with DALL-E, Chart from TradingView

Bitcoin (BTC) has seen a steady price recovery following the recent release of the US Consumer Price Index (CPI) report. It is now trading above $103,000. This marks an 8% gain over the past week, driven by growing interest from large investors and a shift in market dynamics. According to the latest insights from CryptoQuant Analysts, some underlying whale activity factors might be influencing Bitcoin’s current trajectory. Related Reading: Rising Bitcoin Prices Defy Exchange Inflows: What Investors Need to Know Bitcoin Price Rebounds Amid Growing Whale Activity CryptoQuant QuickTake Platform contributor Joao Wedson has recently highlighted a noteworthy trend in whale behavior on Binance, the world’s largest crypto exchange. In a recent analysis, Wedson examined the Exchange Whale Ratio, which measures the share of Bitcoin’s largest inflow transactions relative to the total exchange volume. This metric, according to the analyst has now reached historical highs, signaling that large holders—often referred to as whales—are transferring significant amounts of Bitcoin to the exchange. The increased movement of Bitcoin by whales may indicate that they are preparing for substantial buy or sell actions, potentially amplifying market volatility. Wedson added: Stay alert! Intense movements by major players can bring volatility risks but also unique opportunities for those closely monitoring the market. Understanding New Whale Movements and Market Cycles In addition to whale activity on Binance, another CryptoQuant contributor, KriptoBaykusV2, provided insights into the emergence of new large investors in the market. According to KriptoBaykusV2, the “New Whales” indicator highlights the influx of previously inactive large investors acquiring Bitcoin. Over the past three years, this metric has grown steadily, suggesting heightened interest in the cryptocurrency market. However, the entry and exit of new whales often coincide with price swings, making it a key factor for understanding market cycles. Related Reading: Bitcoin May Target $145,000 To $249,000 Under Trump Administration: Report Historical data shows that peaks in new whale activity often align with periods of price volatility. For example, during 2021 and 2023, sharp increases in the number of new large investors were followed by significant price corrections. KriptoBaykusV2 wrote: Understanding whether the market is in a bull or bear phase is crucial for investors. Increases in the number of new whales often signal the start of bull markets, while the sharp corrections that follow these movements can indicate the onset of bear markets. This is especially evident from 2021 onwards, where these fluctuations are clearly visible Meanwhile, Bitcoin is currently trading at a price of $103,985, at the time of writing marking not only a 4.9% increase in the past day but also a nearly 10% surge in the past two weeks. Featured image created with DALL-E, Chart from TradingView

Toncoin (TON) has shown signs of recovery, trading above $5.5 after experiencing price declines in recent weeks. This rebound has not only boosted TON’s market capitalization by some millions but also brought investors to ponder on Toncoin’s potential for a sustained rally. Particularly, as the TON market stabilizes so far, questions about investor sentiment and market risk are coming to the forefront. Related Reading: Toncoin Could See A 65% Surge In The Next 43 Days—Here’s Why Is Now The Time To Buy TON A CryptoQuant Quicktake Platform contributor Darkfost recently analyzed Toncoin’s market behavior, focusing on the annualized realized volatility over a one-week period. This metric as shared by the analyst has dropped below the 0.25 threshold, offering insights into the prevailing investor sentiment and perceived market risk. While low volatility is often associated with reduced risk, it may also indicate waning market interest or growing investor caution. Notably, the decline in realized volatility is a significant development, as periods of low volatility have historically been followed by market reversals. Darkfost emphasized that reduced volatility often signals diminished investor interest, which can present both opportunities and challenges for traders. On the one hand, such periods may highlight reduced market risks, offering potential entry points for long-term investors. On the other hand, they require careful analysis, as low volatility alone cannot guarantee future price movements. Darkfost suggested that monitoring these low-volatility periods closely, alongside other indicators, is essential for making informed decisions. Additional evaluation of broader trends and corroborating signals is necessary to identify whether these zones represent genuine buying opportunities. Toncoin Market Performance And Outlook In recent weeks, TON’s price has shown little movement in either a bullish or bearish direction. Despite the broader crypto market experiencing a recent downturn, TON has managed to hold steady above the $5 mark, avoiding any significant drops below this level. Related Reading: Toncoin Signals Accumulation Phase as Open Interest Hits Nine-Month Low – What’s Next? Even as the broader crypto market now begins to recover, TON has struggled to break past the $5 threshold, indicating that it may be encountering resistance at this price point. At the time of writing, TON is trading at $5.22, reflecting a modest 0.5% increase over the past day. Interestingly, despite this encountered resistance above $5, TON appears to still be seeing significant movement behind the scenes. Just yesterday, the network registered over 100% in large transaction volume reaching nearly $8.5 billion Toncoin $TON surged 104% in large transaction volume over the past 24 hours, reaching $8.13 billion, driven by significant whale activity and $127 million in market-wide shorts liquidations. Currently trading at $5.39, TON’s spike aligns with a broader crypto market recovery… pic.twitter.com/7uLTLhz3h6 — ᵇᵉᵃᵗ (@beatbroker) January 15, 2025 Featured image created with DALL-E, Chart from TradingView