Bitcoin’s rise in mid-September slowed down leading up to the end of the month. Although ended September with a green At the monthly candle close, the cryptocurrency fell below the $65,000 psychological price mark again as the fear and greed index returned from greed to neutral sentiment. This appears to have caused doubts among Bitcoin investors. However, CryptoQuant CEO Ki Young Ju doesn’t think so.
According to Ki Young Ju, Bitcoin is still in the middle of a bull cycle. This is positive news for Bitcoin investors as the crypto industry is now transitioning into a historically bullish fourth quarter of the year.
Bitcoin bull market is not over yet
CryptoQuant CEO Ki Young Ju is part of ardent Bitcoin investors that remain unfazed by recent price fluctuations. However, your position is not just based on speculation, but is supported by technical price data and analysis. Ki Young Ju draws your optimistic outlook about the difference in Bitcoin’s growth rate, which presents an interesting perspective on the cryptocurrency. Essentially, the difference in Bitcoin’s growth rate compares the market value of Bitcoin to its realized limit in order to assess its bullish or bearish strength.
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The market value of a cryptocurrency is the total value of all coins in circulation, calculated by multiplying the current price by the total supply. In contrast, the realized cap takes into account the actual value paid for each BTC in circulation based on the price at which each coin was last moved. A higher market capitalization growth rate suggests that the average coin’s spot price has increased compared to the last move.
According to a Bitcoin technical chart he shared on social media platform X, Ki Young Ju noted that Bitcoin’s market value is still growing faster than its realized limit, which continues to point to a bull cycle . Notably, the analyst mentioned in a previous analysis of the difference in growth rate that this trend, which began in late 2023, typically lasts an average of two years.
What does this mean for BTC?
Following previous bull cycle trends, which Ki Young Ju noted typically lasts around two years, Bitcoin is expected to continue in a bull cycle for at least more than a year going forward. Furthermore, current fundamentals point to steady growth for Bitcoin as flows from institutional investors continue to arrive.
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Speaking of institutional investors, Spot Bitcoin ETFs, which ended last week with the largest inflow ($494.27 million) since July 22, started the new week on a positive note. In particular, they recorded 61.3 million dollars in net inflows yesterday, which is a sign that good things are to come. Institutional involvement, especially through vehicles like Spot Bitcoin ETFs, is a crucial factor in the sustained growth of BTC prices.
At the time of writing, Bitcoin is trading at $64,080.
Featured image created with Dall.E, chart from Tradingview.com
