As with most investment markets, a bull market ends after a large influx of new investors.
A decrease in the proportion of Bitcoins held for more than 6 months means that the number of Bitcoins traded for less than 6 months has increased, so it can be assumed that new investors have been flowing in.
In 2017, after a large influx of new investors began, Bitcoin reached its peak 9 months later, and in 2021, Bitcoin reached its peak 7 months later.
As of 2024, about 3 months have passed since new investors began to flow in.
Even conservatively, we can expect that the market has not yet reached its peak, and since we can now expect additional inflows from US spot Bitcoin ETFs, we could see a sharp further rise in Bitcoin in 2024.
Written by Crypto Dan