A crypto analyst says inaccurate narratives nonetheless flow into within the cryptocurrency market, primarily primarily based on skewed info fairly than onchain knowledge to again it up.
“Watch out for misinformation. Regardless of the information, deceptive narratives persist,” CryptoQuant contributor “onchained,” mentioned in a March 22 market report.
“Such claims typically lack onchain validation and are pushed by sensationalist market sentiment fairly than goal evaluation,” the analyst mentioned, including:
“Belief knowledge, not noise, confirm sources and cross-check onchain metrics.”
Onchained pointed to the latest actions of Bitcoin (BTC) long-term holders (LTH) — these holding for over 155 days — for example of false narratives clashing with actual knowledge.
The analyst identified that whereas some narratives declare Bitcoin long-term holders are “capitulating,” the information exhibits they’re remaining constant. “The info leaves no room for hypothesis,” Onchained mentioned.
The Inactive Provide Shift Index (ISSI) — which measures the diploma to which long-dormant Bitcoin provide is shifting — “exhibits no significant LTH promoting strain, reinforcing a story of structural demand outpacing provide,” Onchained mentioned.
Narratives are all the time being challenged
Crypto analytics platform Glassnode just lately made the same statement primarily based on knowledge, saying, “Lengthy-Time period Holder exercise stays largely subdued, with a notable decline of their sell-side strain.”
Crypto market narratives are always altering and being challenged.
One long-standing crypto narrative below debate is the relevance of the 4-year cycle concept, which means that Bitcoin’s worth follows a predictable sample tied to its halving occasion each 4 years.
Supply: Tomas Greif
MN Buying and selling Capital founder Michael van de Poppe mentioned in a March 22 X put up, “I assume that we are able to erase the complete 4-year cycle concept and that we’re in an extended cycle for Altcoins.”
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Echoing the same sentiment, Bitwise Make investments chief funding officer Matt Hougan just lately mentioned that “the normal four-year cycle is over in crypto” because of the latest change within the US authorities’s stance.
“Crypto has moved in four-year cycles since its earliest days. However the change in DC introduces a brand new wave that may play out over a decade,” Hougan mentioned.
Alongside this, some analysts are even debating whether or not the complete Bitcoin bull market is over.
CryptoQuant founder and CEO Ki Younger Ju mentioned in a March 17 X put up, “Bitcoin bull cycle is over, anticipating 6-12 months of bearish or sideways worth motion.”
Ju mentioned all Bitcoin onchain metrics point out a bear market. “With contemporary liquidity drying up, new whales are promoting Bitcoin at decrease costs,” Ju mentioned.
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