Bitcoin (BTC) , the world’s largest cryptocurrency, is showing promising signs of a potential bull run. A rare golden cross in the Puell Multiple, a key on-chain metric, has triggered excitement among analysts and investors alike.
The Puell Multiple – A Miner’s Perspective
The Puell Multiple offers insights into the behavior of Bitcoin miners. By analyzing the daily value of mined Bitcoin relative to its 365-day moving average, it helps gauge miner sentiment and potential market trends.
Historically, a golden cross in the Puell Multiple has preceded significant price rallies. CryptoQuant’s analysis reveals that in the past five years, the metric has crossed its 365-day moving average only three times, each occasion followed by substantial price gains.
A Perfect Storm for Bitcoin
The bullish outlook for Bitcoin is further strengthened by favorable macroeconomic conditions. As traditional markets face uncertainty, investors are increasingly turning to cryptocurrencies as a hedge against inflation and economic turmoil.
Retail FOMO on the Horizon
While the potential for significant upside is undeniable, analysts caution against the risks of retail FOMO, or Fear of Missing Out. As the market enters a parabolic phase, it’s crucial to remain disciplined and avoid impulsive decisions.
Lots of people about to become intimately familiar with the phrase, Fear of Missing Out (FOMO), on this Bitcoin cycle.
— Preston Pysh (@PrestonPysh) November 18, 2024
PlanB, a renowned crypto analyst, predicts that the main FOMO wave will hit in early 2025. The relative strength index (RSI) currently sits above the overbought level of 70, indicating strong bullish momentum.
Bitcoin monthly RSI will be 80+ (= face melting FOMO) in 2025 IMO. Full analysis in this video:https://t.co/9mxETi4N1W pic.twitter.com/MO1XdRYA3m
— PlanB (@100trillionUSD) November 11, 2024
As Bitcoin continues to evolve, it’s essential to stay informed and make informed investment decisions. With a potential bull run on the horizon, the future of Bitcoin looks bright.
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses.
Also Read: Bitcoin (BTC) Dips 3% After MicroStrategy’s $4.6 Billion Purchase – A Temporary Setback?
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