2022 has been a bear market of 'historic proportions', says Glassnode
2022 A Bear Market
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2022 has been a bear market of 'historic proportions', says Glassnode
Following Glassnode’s recent report arguing we were in “the darkest phase of the bear market“, its latest release, titled “A Bear of Historic Proportions”, outlines reasons for believing that 2022 has been the worst on record for Bitcoin.
Interestingly, according to the blockchain analysis firm, the bear market commenced in April 2021 and not November 2021, since “a large proportion of the marginal buyers and sellers were flushed from the market”. It adds that bear market lows typically have drawdowns between -75 percent and -84 percent from the all-time high (ATH), taking between 260 and 410 days.
In addition to MM, Glassnode also notes that the spot price of bitcoins is trading below the "realized price", a valuation metric calculated by taking the value of all bitcoins and the value they purchased, the number of bitcoins in circulation. divided by.
To highlight the gravity of the current market conditions, Glassnode concluded by saying that "the deviation from the MA is so large that only 2 percent of trading days have gone bad". Truly a bear market of historical proportions. Then again, it's all a matter of context.
2022 has been a bear market of 'historic proportions', says Glassnode. The current downtrend forecast by the firm calls for an end to base metal runs in 2022, which translates into a very difficult market for miners.