7 Fundamental Reasons Why Bitcoin Will Soon Grow Again

The price of Bitcoin is currently only a few hundred euros above the $9000 mark, while volatility has remained at very low levels for weeks. At the same time, many altcoins such as Chainlink, Cardano or Dogecoin are experiencing a real spring. But how long will this development last? Technically, an important indicator gave a buy signal a few days ago and gave hope for an early rebound. But fundamentally, things are looking great for Bitcoin. In this article, we briefly introduce you to the fundamentals, which bring a turning point in the price development and good hopes for the future development of Bitcoin.
Bitcoin's Strong Fundamentals <br /> Many in the cryptocurrency space often pay special attention to the development of Bitcoin's price and its technical developments. While this is generally justified, it is at least as important to take a closer look at Bitcoin's fundamental data from time to time. After all, it is these factors that make price increases possible and justifiable in the long run.
During the current relatively tight consolidation phase, it is worth taking a look at the so-called “fundamentals” of BTC. Many of them currently look very bullish with all-time highs being set, so hopefully there will be positive changes in the price of Bitcoin sooner rather than later.
The percentage of BTC that has not moved in over a year is currently at an all-time high of 62%. This indicates an increase in “Hodl behavior” among investors, sucking liquidity from the market and demonstrating the long-term belief many have in digital gold. According to data from blockchain analytics firm Glassnode, the number of BTC addresses holding more than 0.1 Bitcoin is now at an all-time high. The 7-day moving average for Bitcoin’s hashrate has just reached a new high. As a result, mining difficulty is likely to reach a new ATH in the near future. Bitcoin’s order book has a “record bid page”, in other words, a record number of purchase orders. According to crypto firm Santiment, the number of daily active addresses on the Bitcoin blockchain is increasing The funding rate for BitMEX and Binance futures is neutral at 0.01%. The coincidence of a neutral futures market and optimistic fundamental data indicates an overall bullish Bitcoin market.
Does Bitcoin price follow fundamentals?
Of course, the most important question behind the consistently positive fundamental data behind BTC is what the Bitcoin price will do and whether it will follow the positive developments. Unfortunately, of course, this cannot be said with certainty in the end, but, as we all know, the rhythm of the past and the future is exactly what the 62% of BTC who have not been transferred for more than a year want.
As on-chain analyst Philip Swift showed in a Twitter thread, this fundamental value was at such a high level until the Bitcoin price rose to $20,000 in 2016.