According to a recent report from CryptoQuant, the BTC – Unrealized Loss Model has shown a breakout of the buy zone. This particular model provides on-chain data that reveals how many investors are currently experiencing unrealized losses in Bitcoin. When in a bear market, the unrealized loss indicator tends to rise as it approaches the bottom.

However, as the volume of the crypto market has increased, the peaks and lows of Bitcoin have become smaller over time, causing the top of this model to also decrease with each cycle. During this current cycle, the unrealized loss indicator peaked during the 2022 FTX exchange bankruptcy and has recently broken out of the buy zone due to Bitcoin’s strong rally.

This development suggests that the likelihood of Bitcoin renewing the low has decreased, which is a positive sign for investors. The model predicts that investors who purchase Bitcoin during significant drops in 2023 are likely to see positive results in 2024 and 2025.

For cryptocurrency investors, this news is crucial, and it’s essential to keep track of on-chain data like the BTC – Unrealized Loss Model to make informed investment decisions. By analyzing these indicators, investors can better understand the current state of the market and make more informed decisions about buying or selling Bitcoin.

In conclusion, the breakout of the buy zone in the BTC – Unrealized Loss Model is an important development for cryptocurrency investors. It suggests that the likelihood of Bitcoin renewing the low has decreased, and investors who purchase during significant drops in 2023 could see positive results in 2024 and 2025.

#bitcoin #BTC #onchain #azcoinnews #azcoin

This article was republished from azcoinnews.com

The fact that blockchain transaction data is publicly available makes it possible to use it to analyze the behavior of other users on the network. Specifically, for onchain analysis.

➡️ Onchain analysis is the analytics of data found in an open-source blockchain. In other words, the dynamics of everything going on behind the scenes of crypto projects.

Onchain data allows you to see exactly: who owns what, what transactions are made, etc. All this information is stored in blocks or transaction records.

➡️ Examples of on-chain analysis metrics:

1) Transaction volume.

A metric that measures the total number of transactions that occurred on the blockchain over a certain period of time. It is used to evaluate the level of activity in the network.

2) Analysis of smart money (behavior of big players).

Venture capital funds or whales (owners of large amounts of capital in their wallets) can act as a big player. Due to the large amounts of funds, they are able to influence the price of this or that asset. Also, to some extent, they can foresee future trends and narratives in the market.

3) Development activity.

A measure of development activity, measured by the number of "events". Shows how many actions developers take. Increase in developer productivity may show that the project is preparing any updates or innovations.

4) Number of active addresses/users.

This metric shows the number of addresses that made at least one transaction within a certain time. If the number of active addresses is high, it indicates that the project has a strong user base.

There are a large number of such metrics. Which one you should use depends on your analysis purposes.

↪️ Services for on-chain analytics:

• Nansen (https://www.nansen.ai/)

• Glassnode (https://glassnode.com/)

• Dune (https://dune.com/browse/dashboards)

• Token Terminal

 (https://tokenterminal.com/)

Have you ever used on-chain analysis?

👍 - Yes 

👎 - No

#onchain #BNB #crypto2023 #bitcoin #askbinancesensei

Let's explore how
➮ Whale's Biggest Holding is $MEME . ☩ With over 76% of his capital allocated, making him one of the top 20 holders. ☩ He started accumulating the asset in November & isn't in a hurry to press "Sell". ☩ Profit and Loss: +$368,864.76
➮ Second Huge profit came from $CGPT on BSC network ☩ He accumulated the coin by making purchases hundreds of times but in small parts. ☩ This strategy is used to keep Large whales unnoticed. ☩ Profit and Loss: +$275,675.97
➮ He scored a major profit with $MKR . ☩ In just 18 days, he raked in a substantial amount of cash. ☩ From buying on September 12th to selling on October 3rd, it was one of his quickest wins. ☩ Profit and Loss: +$266,928.54
➮ Thousands of people are making millions of dollars of Crypto every day ☩ Simply following 1% club, you'll swiftly become a part of it. ☩ Stay with me, I will present every club member to you. ☩ His address: 0x4322fd98f95a219d2aae2bba6664e3574b4c3708
#meme #binance #btc #tradinginsight #onchain

In recent developments within the cryptocurrency market, XRP, the digital asset associated with Ripple Labs, has experienced a significant increase in on-chain volume and development activity. This surge comes on the heels of legal battles with the U.S. Securities and Exchange Commission (SEC) and promises to bring renewed attention to the cryptocurrency.

XRP's On-Chain Volume Hits New Highs

Blockchain analytics firm Santiment has reported that XRP witnessed its highest on-chain transaction volume since February 1st. This milestone, with 4.8 billion XRP in transaction volume and 2.03 billion XRP in circulation, suggests growing utility and interest in the cryptocurrency.

XRP's Legal Battles and Regulatory Clarity

XRP's journey to this point has been marked by regulatory challenges. In July, the automated, open-market sales of XRP were deemed not to be securities following a protracted legal battle with the SEC. This legal victory has cleared the path for XRP's further development and adoption.

XRP's Current Market Performance

At the time of writing, XRP is trading at $0.496, reflecting a 1.09% increase in the last 24 hours. This performance showcases the cryptocurrency's resilience and potential for growth in the current market environment.

Bitcoin Faces Fear, Doubt, and Uncertainty (FUD)

While XRP is experiencing positive momentum, Bitcoin, the leading cryptocurrency, faces challenges. Santiment attributes Bitcoin's recent dip to concerns surrounding the potential rejection of spot market Bitcoin exchange-traded fund (ETF) applications. This fear, doubt, and uncertainty (FUD) lingers despite the SEC's loss in a lawsuit against Grayscale over a Bitcoin ETF rejection.

Bitcoin's Price Struggles

Bitcoin's price fell to $25,400, its lowest level since June 16th, at the start of September. The uncertainty regarding the approval of a spot Bitcoin ETF continues to cast a shadow over the market, with traders expecting FUD to persist in the short term.

Predicting Bitcoin's Next Moves

Santiment highlights the significance of monitoring the supply of stablecoins held by crypto whales as a potential indicator of Bitcoin's future price movements. The behavior of large wallets and their stablecoin accumulation ratios could provide insights into whether Bitcoin will head towards $30,000 or $25,000 in the near future.

#XRP #SEC #onchain #bitcoin #ETF $BTC $XRP

TC under pressure

However, over time, these short-term traders saw profits. According to Glassnode’s data, most short-term holders began seeing profits after BTC’s price surpassed $25,200. At press time, BTC’s price was $26,765.18, according to CoinMarketCap.

This indicated that many short-term holders were already profitable. This increase in profits could incentivize these holders to sell their holdings and drive down the price of Bitcoin.

Interesting behavior was observed by other nonprofitable traders as well. According to the SOPR (Spent Output Profit Ratio) many addresses were selling their BTC at a loss as the SOPR reached below 1.

SOPR is a tool that measures whether Bitcoin holders are selling at a profit or loss. During market corrections, some Bitcoin holders who bought near the top may panic and sell their coins at lower prices, resulting in realized losses. SOPR tracks this behavior and can help identify potential bottoms in the market.

When SOPR falls below 1, it indicates that more coins are being sold at a loss than a profit. This can be a signal for a potential bottom in the market, as most sellers who bought near the top have now exited their positions.

However, the same selling pressure that was faced by short-term holders wasn’t seen by addresses who have held their BTC for larger amounts of time. According to Santiment’s data, the MVRV ratio had declined significantly over the last few weeks.

This indicated that BTC was no longer in an overbought position and long-term holders had little incentive to sell their holdings.

#BTC #onchain #Binance #bykaranteli