Market

Su Zhu of Three Arrows Capital: Bitcoin just triggered a rare bullish signal

Su Zhu, co-founder and CEO of the crypto hedge fund Three Arrows Capital, said Bitcoin had just triggered a rare upward signal.

According to Zhu, Bitcoin’s inactive traffic metric has just reached a level only five times in history.

“Buy the signal from BTC hibernation, very rarely, only six times in history.”

The source: Twitter

The BTC dormant state refers to the average number of days each issued coin is dormant before moving. This metric can be used to identify lows and gauge whether the bull market will continue under relatively normal conditions.

Another on-chain metric for Bitcoin that Zhu finds remarkable is the illiquid supply. Low supply of liquidity refers to BTC in wallets with a low sales history. If the illiquid supply increases, this does not indicate any selling pressure on BTC and increases the chances of a rebound.

“Since July 2021, the liquidity supply has increased sharply in line with the cumulative trend from January 2019 to April 2021.”

The source: Twitter

According to Zhu, Bitcoin is in a long accumulation phase with an overall bullish market structure.

“Bitcoin is in a multi-year process of higher ups and downs, with 2021 being a relatively quieter year amid sideways accumulation. Buying highs or selling lows can be quite risky at this stage, resulting in significant underperformance of the Buy and Hodl activity.

At the time of writing, Bitcoin is trading at $ 42,499, up 1% from the day but still nearly 40% less than its all-time high of $ 69,000 in November 2021.

Source: TradingView

Join Bitcoin Magazine Telegram to keep track of news and comment on this article: https://t.me/coincunews

Follow the Youtube Channel | Subscribe to telegram channel | Follow Facebook page

Annie

Championing positive change through finance, I've dedicated over eight years to sustainability and environmental journalism. My passion lies in uncovering companies that make a real difference in the world and guiding investors towards them. My expertise lies in navigating the world of sustainable investing, analyzing ESG (Environmental, Social, and Governance) criteria, and exploring the exciting field of impact investing. "Invest in a better future," I often say. That's the driving force behind my work at Coincu – to empower readers with knowledge and insights to make investment decisions that create a positive impact.

Recent Posts

Why is the XRP Price Down Today? Market Expert Replies and Points to Ripple Killer on the Rise

Experts spotlight a rising AI token poised to create a major shift in the market…

21 mins ago

Dogecoin Price Reaches 5-Month High: Here’s What’s Driving The Increase 

The Dogecoin price has reached a five-month high, and investors should buy the Ethereum token…

3 hours ago

Best Cryptos to Invest in Now: Don’t Miss Out on These Potential Game-Changers!

Crypto isn’t just for the tech-savvy anymore; it’s for everyone. As more people jump into…

4 hours ago

Trust Wallet CEO Backs Web3, Plus Wallet’s Top-Tier Encryption Ensures Secure Asset Access Amid Crypto Liquidation Hits $277M

Read how Plus Wallet’s top-tier ensures secure, unified digital asset management. Get the latest updates…

7 hours ago

Former Alameda CEO Will Now Serve 2-Year Sentence

Former Alameda CEO Caroline Ellison reported to a Connecticut federal prison on November 7 after…

8 hours ago

This website uses cookies.