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Breaking News: Binance Founder Suggests President Trump Could Be Satoshi Nakamoto In Latest Statement
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Breaking News: Binance Founder Suggests President Trump Could Be Satoshi Nakamoto In Latest Statement

This Bitcoin On-chain Retest Can Change Market’s Course, Here’s How

Keshav Verma
Keshav Verma
1 year ago
3 mins read
Bitcoin

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Bitcoin new address momentum is approaching a retest that could change the course of the crypto’s price, if history is anything to go by.

Monthly MA Of Bitcoin New Addresses Is Currently Retesting The Yearly MA

According to the latest weekly report from Glassnode, new address momentum is currently on the verge of a push higher.

The “new addresses” is an indicator that measures the total number of new addresses coming active on the Bitcoin blockchain.

To know whether the crypto is seeing a sufficient amount of push in new users coming to the network or not, the “new address momentum” metric is used.

This momentum indicator is based on the 30-day and 365-day moving averages of the new addresses. By comparing the trend of these MAs against each other, we can learn how the monthly average new users stack up against the mean for the year.

Now, here is a chart that shows the trend in the Bitcoin new address momentum over the last few years:

Bitcoin New Address Momentum

Looks like the two MAs have been approaching a test in recent days | Source: Glassnode's The Week Onchain - Week 43, 2022

As you can see in the above graph, the relevant points of trend for the Bitcoin new address momentum are highlighted.

It seems like whenever the 30-day MA has failed to cross above the 365-day MA, the price of the crypto has observed a bearish trend.

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This happened back in November 2018, where when shortly after the crossover didn’t happen, the coin crashed from $6k to $3.2k November 2021 and May 2022 also saw a similar pattern.

On the other hand, during times when the monthly MA successfully passed above the yearly and sustained there, Bitcoin felt a constructive effect on its value.

In recent months, the 30-day MA has been below the 365-day as there hasn’t been much demand for BTC. Most recently, however, the metric has seen some upwards push, and is now approaching another retest of the yearly line.

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Can Bitcoin Bring An End To Crypto Winter? | BTCUSD Analysis October 24, 2022

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Currently, it’s unclear how this crossover attempt will go, but the report notes that so far the market hasn’t shown the same convincing burst of strength as in 2019.

BTC Price

At the time of writing, Bitcoin’s price floats around $19.2k, down 1% in the last week. Over the past month, the crypto has gained 2% in value.

The below chart shows the trend in the price of the coin over the last five days.

Bitcoin Price Chart

The value of the crypto seems to have continued its boring sideways movement around $19k recently | Source: BTCUSD on TradingView
Featured image from Kanchanara on Unsplash.com, charts from TradingView.com, Glassnode.com
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Keshav Verma
Keshav Verma

Keshav Verma

Keshav is currently a senior writer at NewsBTC and has been attached to the website since June 14, 2021.

Read more

Keshav has been writing for many years, first as a hobbyist and later as a freelancer. He has experience working in a variety of niches, even fiction at one point, but the cryptocurrency industry has been the longest he has been attached to.

In terms of official educational qualifications, Keshav holds a bachelor’s degree in Physics from one of the premier institutes of India, the University of Delhi (DU). He started the degree with an aim of eventually making a career in Physics, but the onset of COVID led to a shift in plans. The virus meant that the college classes had to be delivered in the online-mode and with it came free time for him to explore other passions.

Initially only seeking to make some beer money, Keshav unexpectedly landed clients offering real projects, after which there was no looking back. Writing was something he had always enjoyed and to be able to do it for a living was like a dream come true.

Keshav completed his Physics degree in 2022 and has been focusing on his writing career since, but that doesn’t mean his passion for Physics has ended. He eventually plans to re-enter university to obtain a masters degree in the same field, but perhaps only to satiate his own interest rather than for using it as a means to find employment..

Keshav has found blockchain and its concepts fascinating ever since he started going down the rabbit-hole back in 2020. On-chain analysis in particular has been something he likes to research more about, which is why his NewsBTC pieces tend to involve it in some form.

Being of the science background, Keshav likes if concepts are clear and consistent, so he generally explains the indicators he talks about in a bit of detail so that the readers can perhaps come out having understood and learnt something new.

As for hobbies, Keshav is super into football, anime, and videogames. He enjoys football not only as a watcher, but also as a player. For games, Keshav generally tends towards enjoying singleplayer adventures, with EA FC (formerly FIFA) being the only online game he is active in. Though, perhaps due to being ultra-focused on the game, he is today a semi-pro on the EA FC scene, regularly participating in tournaments and sometimes even taking back prize money.

Because of his enthusiasm for anime and games, he also self-learned Japanese along the way to consume some of the untranslated gems out there. The skill didn’t merely remain as just a hobby, either, as he put it to productive use during his exploration for small-time gigs at the start of COVID, fulfilling a couple of Japanese-to-English translation jobs.

Keshav is also big into fitness, with agility and acceleration-related workouts making a big part of his program due to the relevance they have in football. On top of that, he also has a more traditional strength based program for the gym, which he does to maintain an overall fitness level of his body.

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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.

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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.

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