Bitcoin Bull Score Index Rises, Yet Bearish Trends Persist
We have always followed the principles of transparency and clear information. Some of our content includes affiliate links, and we may earn a small commission through these partnerships. These partnerships do not influence our editorial independence or opinion. By using our site, you accept our privacy policy and terms and conditions.
A presale and tokenomics specialist, Sofia evaluates new crypto projects with the analytical rigor of her Bocconi background. Having reviewed over 200 launches, she excels…
Cryptocurrency is a high-risk asset class, and investing carries significant risk, including the potential loss of some or all of your investment. The information on this website is provided for informational and educational purposes only and does not constitute financial, investment, or gambling advice. Cryptowinx does not endorse any specific exchange or gaming platform. For more details, please read our terms and full disclaimer.
Cryptowinx navigates the digital asset universe with a dynamic, forward-looking vision. Throughout our evolution, we have followed every market cycle, from vertical rises to corrections, always remaining a solid point of reference for our community. Our team is made up of industry experts and analysts who experience the blockchain ecosystem daily: we constantly monitor Bitcoin’s stability, study the expansion of the Ethereum ecosystem, and analyze the new frontiers of crypto casinos. We are committed to absolute editorial integrity, separating the signal from the noise through rigorous fact-checking and multi-perspective news analysis. In a landscape where innovations emerge in moments, our mission is to simplify complex concepts and offer transparency into what is established and what is still experimental.
Learn more Cryptowinx
The Bitcoin Bull Score Index, as reported by CryptoQuant, has seen a notable rise, reaching a score of 30. This increase indicates that while bearish conditions continue for Bitcoin, they are not as severe as they once were.
In a recent update on X, Julio Moreno, the head of research at CryptoQuant, elaborated on the latest developments concerning the Bull Score Index. This index serves as a crucial measure of the current market phase for Bitcoin, evaluating ten specific indicators that assess various aspects of the cryptocurrency’s network. Key metrics in this evaluation include the MVRZ Z-Score, Realized Price, and the CryptoQuant Profit and Loss Index.
The Bull Score Index measures how many indicators are currently signaling bullish trends for Bitcoin. A higher score, such as 60, indicates that six of these metrics are suggesting positive momentum.
Historically, the Index experienced a significant downturn, dropping to zero, which reflected a complete bearish consensus among the ten metrics after Bitcoin’s price fell sharply.
Recently, however, it has shown signs of recovery, moving up to a score of 30. Nevertheless, this increase reflects only three indicators currently giving bullish signals, which include improvements in exchange flows, stablecoin liquidity growth, and overall price momentum, as stated by Moreno.
Although this uptick marks a departure from the “extra bearish” status of 20 and below, it still falls short of the normal bearish threshold, which is set at 40. For the index to fully escape the bearish zone, at least two additional indicators will need to indicate bullish trends.
The potential for this recovery to lead to a more sustained bullish period remains uncertain. Moreno noted that while there has been a temporary relief rally, it does not suggest a complete market reversal, indicating that the bear market is still ongoing.
In related news, analytics firm Glassnode highlighted a concerning trend among Bitcoin sellers, who have been experiencing losses recently. Their analysis revealed that the 90-day moving average of the Bitcoin Realized Profit/Loss Ratio has dipped below the 1 mark, indicating that losses are currently outweighing profits. Historically, such breaks below this neutral level have lasted more than six months before returning to a healthier state.
On a more positive note, Bitcoin’s price has rebounded above $70,000 after temporarily falling below $66,000 during the weekend, signaling some resilience in the market amidst ongoing fluctuations.
Leave the reaction
Sofia Russo
Commentaries
Add your comment
Fill in necessary fields and publish