The two issues most cryptocurrency buyers are pondering are how a lot decrease can bitcoin go and the way for much longer this bear market may final.
The price pain aspect has been discussed widely, however the time-based dimension is one other query in itself.
Price ache refers to sharp drawdowns or volatility that drive individuals out of positions, whereas time ache displays sluggish, range-bound situations that exhaust each bulls and bears by way of lack of course.
Bitcoin is presently buying and selling under $66,000, down over 3% previously 24 hours and roughly 45% under its October all-time excessive, an nearly six-month bear market.
One indicator pointing towards continued time ache is the Realized Cap HODL Waves from Glassnode. This metric teams bitcoin provide by the final time cash moved, with every band representing completely different holding durations, and weights them by realized price, the typical worth at which cash final transacted on chain.
Historically, bear market bottoms have coincided with long-term holders, these holding for six months or extra, controlling at least 85% of provide. Typically, worth bottoms kind first, and solely a number of months later does long-term holder provide strategy these excessive ranges, indicating these buyers purchased at depressed costs and held by way of the bear market.
Currently, long term holders account for about 80% of provide. If this pattern continues, the market could also be nearing a bottoming part, although a number of months of consolidation are seemingly nonetheless forward.
