BTC price action is “almost identical” to December 2020
Glassnode also revealed “remarkable similarities” between current BTC price action and the previous bull market in 2021.
Comparing this year's performance with previous cycles shows that the 2011–2013 cycle is a clear outlier.
This challenges the notion that institutional interests have brought about a new BTC price model this year.
“If one indexes the price performance (black) since the April 2021 ATH (where we believe bear market sentiment has established), one can see a notable similarity to the previous cycle (black green), Glassnode explains on a cycle comparison chart in “The Week On-Chain”. “In both time and distance from the April 2021 peak, the market is in an almost identical position to December 2020 compared to the 2018-21 cycle.”
December 2020 marked a turning point for Bitcoin, taking off from previous all-time highs to begin price discovery after retesting them for the first time in about two weeks.
This year still marks the first instance of Bitcoin reaching an all-time high right before the block reward halving event.
