Glassnode released its first on-chain video report of 2023 on Tuesday, reviewing what could be data-based indicators of an emerging crypto bull market.
“It really is quite remarkable, and there are very few instances in history where Bitcoin and any digital asset really goes to sleep to this level on a volatility framework,” said Check. Looking at on-chain activity, Check noted that “new address momentum” flipped positive for the first time since May 2021 in the aftermath of FTX’s collapse. This refers to when the monthly average generation of new blockchain addresses flips above the yearly average, indicating relatively high on-chain activity at that time.The analyst believes this may show a reversal in on-chain momentum, similar to what was seen at the beginning of 2019 – but could still fail and go lower.
Specifically, large entities transacting in volumes worth $10 million or more have become far less dominant over total volume than they were in 2021 and most of 2022.