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: Bitcoin, Ethereum, Solana Rally Towards All-Time Highs: Top Analysts Share Predictions
  • 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: Bitcoin, Ethereum, Solana Rally Towards All-Time Highs: Top Analysts Share Predictions

Quant Explains Similarities Between Current And Summer 2020 Bitcoin Markets

Keshav Verma
Keshav Verma
1 year ago
3 mins read
Bitcoin

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.

A quant has pointed out some similarities between the current and summer 2020 Bitcoin markets through on-chain data.

Bitcoin Exchange Supply Shock Ratio Has Rapidly Risen Recently

As explained by an analyst in a CryptoQuant post, there seem to be some similarities between the current market trend and that during the summer of 2020.

The “exchange supply” is an indicator that measures the total amount of Bitcoin present on wallets of all exchanges.

This supply is usually assumed to be the selling supply of the crypto as investors generally transfer their coins to exchanges for selling purposes.

The supply in cold wallets of investors, on the other hand, is likely being held for accumulation, and is unlikely to be sold.

The ratio between this investor wallet supply and the exchange reserve is called the “exchange supply shock ratio.”

When the value of this metric goes up, it means the supply on exchanges is dropping and investors are filling up their cold wallets.

Related Reading | Bitcoin Futures Basis Nears One-Year Lows, How Will This Affect BTC?

On the other hand, a downtrend suggests a push to sell from sellers as they deposit their Bitcoin to centralized exchanges.

Now, here is a chart that shows the trend in the BTC exchange supply shock ratio over the past couple of years:

Bitcoin Exchange Supply Shock Ratio

The value of the indicator seems to have been on the rise recently | Source: CryptoQuant

In the above graph, the quant has marked the relevant trends of similarity between the Bitcoin markets of summer of 2020 and of right now.

It looks like during both the periods, the price was trending down or moving sideways, while the exchange supply shock ratio had been rapidly going up.

Related Reading | Institutional Investors Bearish On Bitcoin, Ethereum. Here’s What They’re Buying

Despite the struggling price at the moment, investors have showed demand for the crypto as they have been rapidly accumulating recently (similar to back then).

What followed a few months after the summer of 2020 was the start of a new Bitcoin bull run due to the resulting “supply shock.”

The BTC price is heavily tied to the stock market currently, and the analyst believes it’s possible that once it decouples, a similar shock could be there this time as well.

BTC Price

At the time of writing, Bitcoin’s price is trading around $39.8k, down 7% in the past week. Over the last month, the crypto has lost 15% in value.

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

Bitcoin Price Chart

The price of the crypto looks to be steadily climbing back up after the plunge down a few days ago | Source: BTCUSD on TradingView
Featured image from Unsplash.com, charts from TradingView.com, CryptoQuant.com
Tweet123Share196ShareSend
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.

Close

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

Bitcoin Price To $160k By Early 2026? Analyst Identifies 2 Conditions For Uptrend

The price of Bitcoin made a dreamy start to the last quarter of the year, beginning the historically bullish month...

Opeyemi Sule 16 hours ago
Crypto bull run in oktober: Wat zijn de beste altcoins?

De beste crypto om te kopen in Oktober 2025 – Grok AI geeft 3 nieuwe crypto coins

Wat zijn de beste altcoins om te kopen in oktober? De verwachte crypto bull run zorgt ervoor dat veel traders...

Lars Diederiksen 19 hours ago
XRP

XRP Price Completes 7-Year Double Bottom Amid Prep For Moonshot To $19

Crypto analyst Bobby revealed that the XRP price has completed a consolidation pattern, hinting at a potential parabolic rally for...

Scott Matherson 20 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

Bitcoin

Bitcoin UTXO Falls To Lowest Level Since April 2024 — What This Means For Price

Opeyemi Sule 1 hour ago
Solana price

Solana Price Slips Below $230, But Analyst Says Next Major Resistance Still At $245

Opeyemi Sule 4 hours ago
Bitcoin

Bitcoin, XRP Testing Key Resistances And Could Turn Messy Again – Here’s Why

Scott Matherson 14 hours ago

Premium Sponsors

Press Releases

  • 仮想通貨おすすめ10月4日版 ― 投資家が見るXRP、ソラナ、カルダノ

    仮想通貨おすすめ10月4日版 ―...

    1 day ago
  • 仮想通貨投資で今注目すべき銘柄:アルトシーズン到来

    ...

    1 day ago
  • ドージコイン価格予測と仮想通貨1000倍の可能性を秘めた新興トークン

    ...

    1 day ago
  • ...

    1 day ago
  • Uptober に注目すべきアルトコイン:1000倍が期待される仮想通貨とは

    Uptober...

    1 day 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.