The analytics firm Alphractal has updated its Bitcoin market research using the 90-day Active Supply metric, which helps understand market demand and investor sentiment.
Alphractal's Updated Assessment
Alphractal has presented a new assessment of the Bitcoin market based on data from the 90-day Active Supply metric. This indicator serves as a means to evaluate market demand and shifts in participant sentiment.
Significance of 90-day Active Supply
Historically, higher values of this metric reflect increased interest from new investors and indicate periods of high demand. Alphractal notes that increases often coincide with changes in market sentiment, particularly near peaks.
Current Market Trends
Currently, the 90-day Active Supply is trending downward, suggesting that activity from short-term holders is decreasing. This might indicate a lack of interest from new market participants. According to Alphractal, if this trend continues, Bitcoin could enter a prolonged consolidation phase or experience further price decreases.
Alphractal continues to monitor changes in the Bitcoin market, providing insights based on the 90-day Active Supply metric. Further decreases in activity might indicate potential for price consolidation or decline in Bitcoin.
