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Bitcoin Seller Exhaustion Reaches Bottom, Signalling End of Bear Market

Such metrics took place with low volatility, but "losses realized on-chain are high."

Bitcoin (BTC) may be entering the end of its bear market cycle, predictions from analytics firm Glassnode have noted this week.

Data from the firm has hinted that the market may have reached its macro price bottom due to ongoing seller behaviours.

The analysis from the website’s Seller Exhaustion Constant also revealed that the BTC network was weathering its “perfect storm” of high on-chain losses.

In the latest hint that Bitcoin’s latest bear market is nearing its end, Glassnode has revealed that the network is currently weathering a “perfect storm” of low volatility and high on-chain losses.

Twitter posts indicated that the rarity of the market bottom would result in upside volatility, ending the bear market.

According to the Thursday tweet, the Bitcoin seller exhaustion constant had “recorded the lowest value since November 2018.”

Such metrics took place with low volatility, but “losses realized on-chain are high.”

The tweet concluded that “6-of-7 similar levels in the past preceded volatility to the upside.”

ARK Invest and David Puell, who created the Puell Multiple indicated, created the Seller Exhaustion Constant.

According to Yassine Elmandjra, it is calculated by “the percentage of bitcoin total circulating supply in profit multiplied by its volatility over the last 30 days.”

He said in a Friday tweet that Bitcoin’s short-term holder cost basis had “crossed below its long-term holder cost basis for only the [fourth] time ever.”

He concluded: “This cross historically marks a cyclical bottom.”

No information published in Crypto Intelligence News constitutes financial advice; crypto investments are high-risk and speculative in nature.

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