By: Biraajmaan Tamuly, CoinTelegraph; Translated by: Wu Zhu, Jinse Finance
BTC's daily chart has shown three consecutive days of bearishness since January 9, when the largest crypto asset fell to nearly $92,000. On January 9, the U.S. Department of Justice (DOJ) approved the sale of 69,000 BTC worth over $6.5 billion, with the spot Bitcoin ETF experiencing the second-highest net outflow, reaching $569.1 million, further dampening overall investor sentiment.
As questions like 'Is the Bitcoin bull market over?' begin to surface on X, an analyst stated that the bullish sentiment for BTC should remain unchanged.
Volatility triggered by news is troubling Bitcoin's price
The recent decline in Bitcoin has been primarily influenced by uncertainties over the Federal Reserve's interest rate cuts and investors adopting a cautious stance ahead of President Trump's inauguration. On-chain data clearly highlights this sentiment, as the 30-day moving average of the buyer/seller ratio has indicated a seller's dominance for the first time since March 2024, when BTC peaked at around $74,000.
Bitcoin buyer/seller ratio. Source: CryptoQuant
The short-term spent output profit ratio (SOPR) for Bitcoin has also fallen below 1, indicating that short-term investors are selling at lower prices. However, anonymous cryptocurrency analyst Avocado onchain stated that these changes are part of BTC's short-term volatility, driven by market speculation rather than changes in market structure. The trader added,
“Investors should remain strategic, avoid reacting to short-term noise, and focus on the broader bullish trajectory,”
Similarly, cryptocurrency trader Mikybull pointed out a list of key Bitcoin top signals for the current bull market cycle. Among the possible 30 market peak indicators, including the Puell multiple, RSI-22, Bitcoin dominance, and MVRV ratio, none of the signals have been touched in the current cycle. The trader said,
“Every decline is an opportunity to prepare for the upcoming massive rebound.”
List of Bitcoin bull market peak indicators. Source: CoinGlass
Cryptocurrency analyst Alex Kruger has also refuted the long-term bearish predicament, stating that 'people are too pessimistic right now.'
The economist explained that while the 'easy mode' has ended for the future, the liquidity injected into traditional finance for 2025 has yet to be accounted for.
