Bitcoin: Historical precedents point at a price rally in 2023 with this condition
According to two analysts from CryptoQuant, history suggests that the value of Bitcoin [BTC] is poised to surge in 2023. The experts have shared their predictions based on historical trends and patterns observed in the BTC’s price movements in the 2018 – 2019 market cycle.
Pseudonymous analyst oinonen_t looked at BTC’s on-chain active address data during the 2018-2019 cycle and found that it generated three individual bottoms as part of the reversal process.
According to the analyst, the 2021-2023 cycle has also shown a similar structure as active addresses reached three individual lows.
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Therefore, the market may see incremental price growth throughout 2023, following the triple bottom structure of the last major cycle, oinonen_t opined. The analyst further noted,
“If bitcoin follows the triple bottom structure of the last major cycle, we’re about to see incremental price increases across 2023. Bitcoin’s current “fair price” is at $43 598, closely aligned with our last price projection of $46 092.”
Source: CryptoQuant
Further, another analyst Woominkyu studied the behavior of BTC long-term and short-term holders in relation to the coin’s realized price.
According to Woominkyu, historical precedents revealed that BTC long-term holders have consistently outweighed short-term holders during periods when the cryptocurrency’s price has successfully crossed the realized price.
This has often led to a rally in BTC’s price. In the current market cycle, long-term holders are expected to gain market control and boost prices gradually, Woominkyu noted.
“The situation does not appear to have materially changed from the past, and it seems that “long-term
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