Crypto Dan
Cryptocurrency Market, Similar to the 2024 Correction Period
In markets with high speculation, the decline is also more significant. Conversely, if the speculation is low, the decline is likely to be smaller. The percentage of Bitcoin held for less than 1 week to 1 month can be used to measure how overheated the market is. As the market rises (1), this ratio increases (2), followed by a correction or decline (3). In this cycle, similar small movements occurred twice, and the level of overheating is quite similar. Given that this ratio has now reached the yellow-box region, which was the bottom of the 2024 correction period, it seems likely that the current market will follow a similar path as the 2024 correction period. In other words, the overheating is now resolved, and although we may need to wait a little longer, with the progress of macroeconomic issues, 2025 is likely to show a positive movement.