Ki Young Ju, head of on-chain analytics platform Crypto Quant, thinks it’s time to go “all in” on Bitcoin.
What Happened: When Bitcoin dipped to $53,000 on March 23, the analyst surmised that the bull run wasn’t over yet. He explained that while he was ready to buy the dip, he would patiently wait till on-chain supply/demand indicators say “all-in.”
“I think it’s time,” said Ju referring to his comments last week, adding that the crypto market is getting better in terms of supply and demand.
The crypto market is getting better in terms of supply/demand.
Here’s the ratio that BTC holdings in USD divided by stablecoins holdings across all exchanges. pic.twitter.com/PDQxAV2Urt
— Ki Young Ju 주기영 (@ki_young_ju) March 29, 2021
Why It Matters: Earlier this month, Ju said that he believed Bitcoin would take some time to get another leg up in terms of demand and supply.
There were two main factors that led to this. The first one was too many Bitcoin holdings in U.S dollars compared to stablecoin holdings on spot exchanges, meaning that selling pressure was high on spot exchanges. Another was the fact that Bitcoin’s market cap was too big to get another leg up solely by leveraging the stablecoin market cap.
Now that these indicators have stabilized, the Crypto Quant analyst believes that another price run could be underway for the market-leading cryptocurrency.
Ju also noted, “Relatively many stablecoins across exchanges thanks to the rise of USDC,” referring to USDC’s circulating supply and exchange holdings that renew at an all-time high day after day.
Earlier today, Visa Inc (NYSE:V) said it would allow payments to be settled via cryptocurrencies using USDC.
Price Action: Bitcoin gained close to 4% overnight, as it traded around $57,757 at the time of writing. Trading volume in the leading cryptocurrency was also up by 7.6%, according to data from CoinMarketCap.
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