Key Points
- The Bitcoin volume oscillator has indicated rare ‘Super Signals’, often seen prior to major bull runs.
- Data reveals that 94% of Bitcoin holders are currently in profit, indicating a bullish market sentiment.
Bitcoin’s volume oscillator has recently shown back-to-back ‘Super Signals’. This is an uncommon event, typically seen during significant bull runs.
Historically, these signals have come before massive rallies, including gains of over 10,000% in 2012 and 3,000% in 2016. The most recent instances were in September 2023 and October 2024, following a +200% surge in Bitcoin’s price.
What is a ‘Super Signal’?
A ‘Super Signal’ occurs when trading volume is extremely low in a bullish market. Analysts believe that these conditions indicate accumulation, as the number of sellers decreases while buying interest remains stable.
The lack of previous high-volume spikes further supports a bullish outlook, distinguishing this phase from bearish low-volume patterns.
Bitcoin’s Market Data
At the time of writing, Bitcoin was priced at $68,378.05, with a market cap of $1.35 trillion and a 24-hour trading volume of $24.5 billion.
This represents a 5.96% increase over the past week, displaying steady gains. Bitcoin’s circulating supply is currently 20 million BTC.
Open Interest in Bitcoin Futures has increased by 2.39%, standing at $40.69 billion, indicating heightened trading activity and potential bullish sentiment.
CoinGlass data showed a 90.33% increase in trading volume to $42.62 billion and a 182.07% increase in options volume to $1.60 billion.
Options Open Interest also rose by 2.29%, currently at $24.31 billion. The alignment of these metrics with Bitcoin’s price movements suggests growing optimism among traders.
Bullish Market Sentiment
Data from IntoTheBlock indicates that 94% of Bitcoin holders are in profit at current prices, signalling positive market sentiment.
The analysis also revealed that 71% of Bitcoin holders have maintained their positions for over a year, suggesting strong long-term holding behaviour.
Meanwhile, 12% of Bitcoin’s supply is held by large holders, indicating a moderate concentration of ownership among whales.
Additionally, there has been a net outflow of $234.54 million from exchanges over the past week, pointing to potential accumulation as investors move assets into cold storage.
Over $105.29 billion in transactions greater than $100K occurred over the last week, driven by institutional investors and large traders.
The geographical distribution of transactions is fairly balanced, with 54% from Western regions and 46% from Eastern regions.
Overall, the occurrence of back-to-back super signals is a unique event in Bitcoin’s history, creating anticipation for potential price movements similar to previous bull cycles.