On-chain analytics provider Santiment has revealed more interesting data that could potentially serve as an indicator for another leg up in price action for Bitcoin.
Activity on the network in terms of daily addresses has surged since Q2, 2020, but the bull run did not really kick in until December of the same year. The analytics provider has used an observation from certified technical analyst “CRYPTO₿IRB” in that an uptick in on-chain activity for daily addresses could suggest that the $60,000 price level may be broken again soon.
“$BTC seven day average over daily active addresses in sideways while price action climbs. The upside trend is the strongest when backed by onchain trends,”
Great find by @crypto_birb, identifying the current correlation between $BTC‘s daily active addresses and price. Look for activity potentially climbing higher as an indication that $60k can and should be breached! Track it now with Sanbase PRO! https://t.co/7dcvM4kRn4 https://t.co/WAipQhvzhz
— Santiment (@santimentfeed) March 22, 2021
There is a clear correlation in BTC address activity, which hit a record high in January, and price action so when the former increases again, a price move should be expected.
Analytics provider Glassnode has reported a different data set that indicates holders of older Bitcoins have been reluctant to sell them while the younger supply has moved less than in previous bull market cycles.
It noted that at previous Bitcoin price tops, around 50% of the supply was younger than 6 months, whereas currently, it is …
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