Are Bitcoin Investors Back In Accumulation Mode? On-Chain Data Says ‘Possibly’

Bitcoin has shown little price movement after a recent market downturn, but on-chain analysis suggests a potential upcoming surge. The Bitcoin Sender/Receiver Address Ratio, comparing selling to buying addresses, has fallen to a one-year low. This low ratio indicates a prevalence of buying addresses, suggesting an accumulation phase is underway. Historically, similar shifts in market sentiment have preceded local price bottoms for Bitcoin. The current consolidation phase could be strengthening the market's foundation for future growth. An analyst highlighted past instances where a similar ratio was followed by significant upward price movement. The analyst believes this pattern could lead to another boost for Bitcoin's price in the mid-term. Currently, Bitcoin is priced around $109,899, showing negligible change in the last 24 hours. Over the past week, Bitcoin has experienced a slight decrease of nearly 2%. The analysis suggests a potential for a future price increase based on historical patterns and current market indicators.