Bitcoin (BTC) price has come out of the range of 28,000-30,000, which it has been in for a long time, and is trading at approximately $ 26,000 at the time of this writing.

Many investors wonder how critical the current market situation is and what factors might affect Bitcoin's future direction.

Cryptocurrency analysis company CryptoQuant has released a comprehensive report examining Bitcoin's previous price cycles based on realized prices of short- and long-term holders. The realized price is the average price each Bitcoin unit was last moved to and reflects the cost basis and sensitivity of different types of holders.

According to CryptoQuant, the current cycle is comparable to the 2019 cycle, where Bitcoin faced a significant correction.