Summary
- On-chain data analytics firm Glassnode said Bitcoin’s on-chain indicators suggest a floor price of around $54,900.
- The report said mid-term holders are defending the current $60,000–$69,000 range, but if support breaks, Bitcoin could fall further to the $54,900 realized price.
- It added that declining Bitcoin deposits to exchanges and continued coin migration to long-term holder addresses point to a shrinking circulating supply in the market.
An analysis suggests that Bitcoin’s (BTC) on-chain indicators imply a floor price of around $54,900.
According to Cointelegraph, a media outlet specializing in virtual assets (cryptocurrencies), on-chain data analytics firm Glassnode said in a recent report that “Bitcoin fell below $79,000 in January and entered a corrective phase, and is now moving sideways within the $60,000–$69,000 range, a key support zone for 2024.”
While the report noted that mid-term holders appear to be defending that price range, it added that “if the current support level breaks down, there is room for further downside to $54,900, the realized price (Realized Price), which is the average liquidity cost basis.” Realized price is an on-chain metric that refers to the market’s average acquisition cost among participants.
It also noted that Bitcoin deposits to exchanges are declining, while the trend of coins moving to addresses with long-term holding behavior continues. This suggests that the circulating supply in the market is gradually shrinking.
JH Kim
reporter1@bloomingbit.ioHi, I'm a Bloomingbit reporter, bringing you the latest cryptocurrency news.
