Bitcoin March peak not final top suggests that the market may still have room to grow, according to CryptoQuant contributor and on-chain analyst Sachi. In a recent analysis, Sachi pointed to key on-chain metrics, particularly the Binary Coin Days Destroyed (CDD), which tracks long-term holders’ behavior. While profit-taking was observed during the March peak, the Binary CDD has yet to hit the “red zone,” a critical indicator typically seen at market peaks. This suggests that Bitcoin’s final top for the current cycle is still ahead.
Binary Coin Days Destroyed (CDD) Analysis
The Binary CDD metric is used to measure the activity of long-term holders by tracking when significant amounts of dormant Bitcoin are moved. Typically, when this metric enters the “red zone,” it signals heavy selling by long-term holders and often coincides with market tops.
- Profit-Taking in March: According to Sachi, while Bitcoin’s March peak saw notable profit-taking by long-term holders, the Binary CDD has not reached the red zone, which indicates that the cycle’s ultimate top may still be on the horizon.
- Low Long-Term Holder Activity: Another critical factor is the continued low activity from long-term holders, combined with decreasing selling pressure. This suggests that long-term holders are not in a rush to exit their positions, a signal that the market has room for further upward movement.
What Does This Mean for the Bitcoin Cycle?
Sachi’s analysis implies that Bitcoin’s price movements are still within an active growth phase, with the possibility of the final peak arriving in the future. The low activity from long-term holders and the lack of red-zone Binary CDD activity signal that the market hasn’t yet reached its peak:
- Room for Growth: With key metrics not indicating a final top, Bitcoin could still experience a further price surge before the end of the current market cycle.
- Lower Selling Pressure: The low selling pressure from long-term holders supports the notion that the market hasn’t entered a phase of widespread profit-taking, which typically marks the end of a bull cycle.
Conclusion
The Bitcoin March peak not final top analysis by CryptoQuant’s Sachi suggests that the current cycle still has room to grow, as key on-chain indicators like the Binary CDD have not reached their critical thresholds. With long-term holders showing low activity and reduced selling pressure, the ultimate peak of this cycle may still lie ahead. Investors will be closely monitoring these metrics to gauge the timing of the cycle’s final top.
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