NewsBTC
No Result
View All Result
  • Cryptocurrency News
    • Bitcoin News (BTC)
    • Ethereum News (ETH)
    • Ripple News (XRP)
    • Shiba Inu News (SHIB)
    • Cardano News (ADA)
    • Dogecoin News (DOGE)
    • Solana News (SOL)
    • Litecoin News (LTC)
    • Avalanche News (AVAX)
    • Polygon News (MATIC)
  • Crypto Prices
    • Binance Coin (BNB) Price
    • Bitcoin (BTC) Price
    • Cardano (ADA) Price
    • Chainlink (LINK) Price
    • Dogecoin (DOGE) Price
    • Ethereum (ETH) Price
    • Litecoin (LTC) Price
    • Polkadot (DOT) Price
  • Crypto Resources & Directory
  • All Crypto
  • Play GamesTry
  • CasinosTry
Breaking News: REX Shares Claims Its DOGE And XRP Spot ETFs Will Be Approved By US SEC Tomorrow
  • Cryptocurrency News
    • Bitcoin News (BTC)
    • Ethereum News (ETH)
    • Ripple News (XRP)
    • Shiba Inu News (SHIB)
    • Cardano News (ADA)
    • Dogecoin News (DOGE)
    • Solana News (SOL)
    • Litecoin News (LTC)
    • Avalanche News (AVAX)
    • Polygon News (MATIC)
  • Crypto Prices
    • Binance Coin (BNB) Price
    • Bitcoin (BTC) Price
    • Cardano (ADA) Price
    • Chainlink (LINK) Price
    • Dogecoin (DOGE) Price
    • Ethereum (ETH) Price
    • Litecoin (LTC) Price
    • Polkadot (DOT) Price
  • Crypto Resources & Directory
  • All Crypto
  • Play GamesTry
  • CasinosTry
Bitcoin News
No Result
View All Result
Breaking News: REX Shares Claims Its DOGE And XRP Spot ETFs Will Be Approved By US SEC Tomorrow

On-Chain Metric Signals the Bitcoin Market Isn’t Overheated: Why This Is Bullish

Nick Chong
Nick Chong
1 year ago
3 mins read
bitcoin price

Reason to trust

Strict editorial policy that focuses on accuracy, relevance, and impartiality
Created by industry experts and meticulously reviewed
The highest standards in reporting and publishing
How Our News is Made

Strict editorial policy that focuses on accuracy, relevance, and impartiality

Ad discliamer

Morbi pretium leo et nisl aliquam mollis. Quisque arcu lorem, ultricies quis pellentesque nec, ullamcorper eu odio.

Despite the recent stagnation, Bitcoin is still up by over 150% from the capitulation lows of March’s crash. By the standards, that means that BTC’s nascent market is at exuberant levels — especially considering the dismal state of the world economy.

Chart of BTC's price action since the start of the year from TradingView.com

But on-chain data shows that BTC is not yet in an “overheated” market, leaving room for the leading cryptocurrency to appreciate in the months ahead.

Related Reading: BTC Just Confirmed a Signal That Preceded Historical 5,000% Rallies

On-Chain Fundamentals Show Bitcoin Has Room to Rally

With Bitcoin flatlining, it’s been hard for some analysts to purely use technical analysis to determine which way the asset will break next. Some market commentators have thus turned to on-chain analytics to indicate which way BTC will move next.

According to data from WhaleMap shared by a cryptocurrency technician, the profitability of traders has gone down rapidly. Referencing the chart below, which indicates that the “moving profits” metric is decreasing, the analyst wrote:

“The amount of people in profit is going down rapidly. This is good, it means the market isn’t overheated anymore. Usually when everyone is making money the market starts shaking everyone out. This chart shows enough shaking has been done.”

Chart of the profitability and unprofitability of cryptocurrency traders coupled with the Bitcoin price from WhaleMaps.io, shared by Byzantine General.

In saying this, the trader is referencing how markets often move against the majority — the “herd.” To put this into the context of the chart above, the fewer Bitcoin investors there are in profit, the less likely the market will punish bulls.

Further corroborating the sentiment that Bitcoin bulls are currently not overextended is derivatives data.

A good indication of the overall sentiment of derivatives traders is the funding rate of BTC perpetual swap markets.

Data from BitMEX indicates that the funding rate of Bitcoin perpetual swaps is approximately flat. This indicates that neither long holders nor short holders are overextended,

Growing Number of BTC Bulls

These positive signals come as Bitcoin has garnered the support of an increasing number of seasoned investment analysts.

As reported by NewsBTC previously, Kyle Bass – the CIO of Hayman Capital Management – said in a recent tweet that he expects BTC to surge higher with gold and silver:

“Silver, Gold, Bitcoin, etc all look to be ready to make explosive moves higher given the sheer amount of money printing going on around the world.”

Bass’ support of the leading cryptocurrency comes shortly after Lyn Alden, a prominent investment strategist, said in an extensive blog post that she is buying BTC.

Alden attributed her optimism to three trends: Bitcoin’s strong network effects that allowed it to fend off altcoins, scarcity mechanisms like the block reward halving, a macro environment promoting the value of scarcity.

Related Reading: Crypto Tidbits: Twitter’s “Bitcoin Scam,” Elon Musk & Dogecoin, Institutions Want BTC & ETH
Featured Image from DepositPhotos
Price tags: xbtusd, btcusd, btcusdt
Charts from TradingView.com
On-Chain Metric Signals the Bitcoin Market Isn't Overheated: Why This Is Bullish
Tweet123Share196ShareSend
Nick Chong
Nick Chong

Nick Chong

I am a writer who has been following Bitcoin for years now. My insights and interviews have been featured in leading publications in the industry such as LongHash and Decrypt. I own a small amount of Bitcoin.

Disclaimer: The information found on NewsBTC is for educational purposes only. It does not represent the opinions of NewsBTC on whether to buy, sell or hold any investments and naturally investing carries risks. You are advised to conduct your own research before making any investment decisions. Use information provided on this website entirely at your own risk.

Related News

Bitcoin Price Faces Big Test

Bitcoin Price Faces Big Test – Resistance Could Decide Next Move

Bitcoin price is moving higher above $116,500. BTC is now facing hurdles and might gain bullish momentum if it clears...

Aayush Jindal 3 hours ago
hyperliquid-stablecoin-hylq-bets-hype-new-crypto-focus-tw

Hyperliquid引爆穩定幣通路革命 HYLQ策略押注HYPE成新興加密投資焦點

在這個資本與代幣合而為一的時代,炒作已非貶義詞,而是敘事的骨幹。當我們談論Hyperliquid時,不只是提到一個永續合約交易平台,更像是在說一部劇情急轉直下的現代金融劇,主角身上寫著「高槓桿」與「高...

Peter Chow 3 hours ago
ethereum eth

Ethereum Price Prediction: Citi Caps Year-End at $4,300, But ETF outflows Challenge Outlook

Ethereum (ETH) has been consolidating between $4,200 and $4,700 after setting an all-time high last August. While many investors anticipate...

James Halver 5 hours ago
Load More

Reason to trust

Strict editorial policy that focuses on accuracy, relevance, and impartiality
Created by industry experts and meticulously reviewed
The highest standards in reporting and publishing
How Our News is Made

Strict editorial policy that focuses on accuracy, relevance, and impartiality

Ad discliamer

Morbi pretium leo et nisl aliquam mollis. Quisque arcu lorem, ultricies quis pellentesque nec, ullamcorper eu odio.

Related News

Dogecoin Whales

Dogecoin Down 13% As Whales Distribute $181 Million In DOGE

Keshav Verma 9 minutes ago
ethereum

Ethereum Close To Local Bottom? Analyst Flags Drop In Binance Open Interest

Ash Tiwari 1 hour ago
Solana

FalconX Moves 413K Solana Worth $98M – Impact On SOL Price

Christian Encila 2 hours ago

Premium Sponsors

Press Releases

  • 3 нискокапитализирани алткойна...

    13 hours ago
  • Топ алткойни за купуване, докато цената на Solana се доближава до исторически връх

    Топ алткойни за купуване, докато...

    16 hours ago
  • Najlepšie altcoiny na kúpu, kým cena Solany dosahuje...

    17 hours ago
  • ドージコイン 今後:ETF上場前の蓄積と価格分析が示す「事実売り」の可能性

    ドージコイン...

    17 hours ago
  • リップル 今後の行方:FOMC前に3ドルを維持、クジラが大量売却

    リップル...

    18 hours ago

Newsletter

About Us

NewsBTC is a cryptocurrency news service that covers bitcoin news today, technical analysis & forecasts for bitcoin price and other altcoins. Here at NewsBTC, we are dedicated to enlightening everyone about bitcoin and other cryptocurrencies.

We cover BTC news related to bitcoin exchanges, bitcoin mining and price forecasts for various cryptocurrencies.

Disclaimer: The information found on NewsBTC is for educational purposes only. It does not represent the opinions of NewsBTC on whether to buy, sell or hold any investments and naturally investing carries risks. You are advised to conduct your own research before making any investment decisions. Use information provided on this website entirely at your own risk.

Company

  • About Us
  • Advertising
  • Contact Us
  • Privacy Center

Social

© 2025 NewsBTC. All Rights Reserved.

  • Cryptocurrency News
    • Bitcoin News (BTC)
    • Ethereum News (ETH)
    • Ripple News (XRP)
    • Shiba Inu News (SHIB)
    • Cardano News (ADA)
    • Dogecoin News (DOGE)
    • Solana News (SOL)
    • Litecoin News (LTC)
    • Avalanche News (AVAX)
    • Polygon News (MATIC)
  • Crypto Prices
    • Binance Coin (BNB) Price
    • Bitcoin (BTC) Price
    • Cardano (ADA) Price
    • Chainlink (LINK) Price
    • Dogecoin (DOGE) Price
    • Ethereum (ETH) Price
    • Litecoin (LTC) Price
    • Polkadot (DOT) Price
  • Crypto Resources & Directory
  • All Crypto
  • Play Games
  • Casinos
Advertise

© 2025 NewsBTC. All Rights Reserved.

This website uses cookies. By continuing to use this website you are giving consent to cookies being used. Visit our Privacy Center or Cookie Policy.