{"id":215,"date":"2022-11-03T10:00:05","date_gmt":"2022-11-03T10:00:05","guid":{"rendered":"https:\/\/nft.runfyers.com\/index.php\/2022\/11\/03\/bitcoin-seller-exhaustion-hits-4-year-low-in-typical-bear-market-move\/"},"modified":"2022-11-04T09:19:33","modified_gmt":"2022-11-04T09:19:33","slug":"bitcoin-seller-exhaustion-hits-4-year-low-in-typical-bear-market-move","status":"publish","type":"post","link":"https:\/\/nft.runfyers.com\/index.php\/2022\/11\/03\/bitcoin-seller-exhaustion-hits-4-year-low-in-typical-bear-market-move\/","title":{"rendered":"Bitcoin seller exhaustion hits 4-year low in \u2018typical\u2019 bear market move"},"content":{"rendered":"

Bitcoin (<\/span>BTC<\/a>) sellers may not have capitulated enough, but current trends are \u201ctypical\u201d of the end of bear markets.<\/span><\/p>\n

\n

According to data<\/a> from on-chain analytics firm Glassnode, seller behavior suggests that a macro price bottom is forming.<\/p>\n

Analyst: Seller exhaustion is \u201cnear\u201d bear market lows<\/h2>\n

In the latest hint that Bitcoin\u2019s latest bear market is nearing its end, Glassnode has revealed that the network is currently weathering a \u201cperfect storm\u201d of low volatility and high on-chain losses.<\/p>\n

The Seller Exhaustion Constant, calculated from one-month rolling volatility and on-chain transaction profitability, is thus at long-term lows of its own.<\/p>\n

As a Twitter post\u00a0explains<\/a>, such lows are rare, having only appeared seven times before. Six of those times, upside volatility resulted, implying that Bitcoin could soon put an end to its bearish trend.<\/p>\n

\u201cThe Bitcoin seller exhaustion constant has recorded the lowest value since November 2018,\u201d Glassnode commented.<\/p>\n

In a subsequent discussion, lead on-chain analyst Checkmate described<\/a> the data as \u201ctypical\u201d of bear markets, adding that such levels occur \u201cnear the lows.\u201d<\/p>\n

The Seller Exhaustion Constant was originally created by ARK Invest and David Puell, who\u2019s responsible for the popular Puell Multiple indicator.<\/p>\n

\u201cThe seller exhaustion constant shown below is the percentage of bitcoin total circulating supply in profit multiplied by its volatility over the last 30 days,\u201d ARK analyst Yassine Elmandjra explained<\/a> in an article last year.<\/p>\n

\u201cThis metric measures whether the two factors align. Specifically, the combination of low volatility and high losses is associated with capitulation, complacency, and a bottoming out of the bitcoin price.\u201d<\/p><\/blockquote>\n

Bitcoin Seller Exhaustion Constant annotated chart. Source: Glassnode\/Twitter<\/em><\/figcaption><\/figure>\n

Not quite there yet<\/h2>\n

Additional data on unspent transaction outputs (UTXOs) nonetheless shows that current levels of BTC moved on-chain at a loss do not match historical bear market bottoms.<\/p>\n

Related:\u00a0New Bitcoin Yardstick metric says $20K BTC now \u2018extraordinarily cheap\u2019<\/a><\/em><\/strong><\/p>\n

\"\"
Bitcoin % UTXOs in profit\/loss chart. Source: Glassnode<\/em><\/figcaption><\/figure>\n

As of Oct. 29, the latest date for which statistics are available, 75% of UTXOs were in profit \u2014 a stark contrast to late 2018, when the tally dipped well below 50%.<\/p>\n

Bitcoin % UTXOs in profit chart. Source: Glassnode<\/em><\/figcaption><\/figure>\n

The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph.com. Every investment and trading move involves risk, you should conduct your own research when making a decision.
\nSource link <\/a><\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"

Bitcoin (BTC) sellers may not have capitulated enough, but current trends are \u201ctypical\u201d of the end of bear markets. According to data from on-chain analytics firm Glassnode, seller behavior suggests that a macro price bottom is forming. Analyst: Seller exhaustion is \u201cnear\u201d bear market lows In the latest hint that Bitcoin\u2019s latest bear market is […]<\/p>\n","protected":false},"author":1,"featured_media":216,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"jetpack_publicize_message":"","jetpack_is_tweetstorm":false,"jetpack_publicize_feature_enabled":true},"categories":[15],"tags":[],"jetpack_publicize_connections":[],"jetpack_featured_media_url":"https:\/\/images.cointelegraph.com\/images\/1200_aHR0cHM6Ly9zMy5jb2ludGVsZWdyYXBoLmNvbS91cGxvYWRzLzIwMjItMTEvNzk0NGFmNGMtM2ZmMi00OWYyLWFkODktYmE0ZjUxMDkwNjg3LmpwZw==.jpg","jetpack_sharing_enabled":true,"jetpack_likes_enabled":true,"_links":{"self":[{"href":"https:\/\/nft.runfyers.com\/index.php\/wp-json\/wp\/v2\/posts\/215"}],"collection":[{"href":"https:\/\/nft.runfyers.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/nft.runfyers.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/nft.runfyers.com\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/nft.runfyers.com\/index.php\/wp-json\/wp\/v2\/comments?post=215"}],"version-history":[{"count":1,"href":"https:\/\/nft.runfyers.com\/index.php\/wp-json\/wp\/v2\/posts\/215\/revisions"}],"predecessor-version":[{"id":291,"href":"https:\/\/nft.runfyers.com\/index.php\/wp-json\/wp\/v2\/posts\/215\/revisions\/291"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/nft.runfyers.com\/index.php\/wp-json\/wp\/v2\/media\/216"}],"wp:attachment":[{"href":"https:\/\/nft.runfyers.com\/index.php\/wp-json\/wp\/v2\/media?parent=215"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/nft.runfyers.com\/index.php\/wp-json\/wp\/v2\/categories?post=215"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/nft.runfyers.com\/index.php\/wp-json\/wp\/v2\/tags?post=215"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}