Bitcoin NVT Data Shows There’s More Explosive Move Ahead For Bitcoin
Market sentiments surrounding the recent Bitcoin Bull Run is one of unpredictability, as some experts are expecting more Bitcoin contraction while few others think Bitcoin’s bull run will continue.
But one popular metric is supporting a further increase in Bitcoin prices. The report from Stack Funds has hinted that the recent Bitcoin Bull Run may not be over yet, adding that the top cryptocurrency still has enough space to go up in the coming weeks.
Stack Funds released its latest data that shows Bitcoin’s network value to transaction (NVT) ratio is still strongly bullish.
Bitcoin’s price not in an overheated territory
The analysts at Stack also said Bitcoin’s gains are not over yet. They pointed out that the NVT statistics shows that Bitcoin is still starting its bull run and not even close to the end.
“Currently, NVT is trading at the 70 handle, and lies roughly in the middle of the range,” the analysts reiterated.
They continued by saying despite Bitcoin gaining more than 30% within the past 10 days, it hasn’t reached an overheated territory. Instead, an imminent rise in the NVT ratio suggests that the top cryptocurrency is gearing up for another explosive move.
The analysts also compared the present divergence in NVT to a similar ratio during the Bitcoin price upsurge in 2017 and 2019.
Stack also pointed out the contrasting performance of the stock market and the crypto market, as the former has not produced any significant move this year despite lingering near all-time highs.
Mainstream consumers warming up to Bitcoin
The upward movement of both Bitcoin and altcoins is affecting the mainstream sector positively, as more interests in cryptocurrencies continue to grow.
A look at Google Trends data indicates that the level of interest in Bitcoin has reached its highest since 2018.
With this increased interest in the industry, it could spur additional price gain as curiosity turns into investments.
Industry analysts like Willy Woo added that the involvement of high net worth investors could even spur the price of Bitcoin further. And with the increased demand for Bitcoin and cryptocurrencies, as well as Bitcoin’s seal of approval from institutions, the market has the potential of exceeding its latest all-time-high.
Woo said whales are busy stuffing Bitcoin as much as they can, even after the slight consolidation of the top cryptocurrency on Friday. So, saying that Bitcoin still has more upward movements is correct, considering the higher level of interest on the coin, according to him.
