Bitcoin (Bitcoin) Analyst William Clement said that on-chain activity is “dead”, but the current on-chain indicators are very positive.
In the latest version of Anthony Pompliano Weekly newsletter, Clement highlighted multiple indicators, indicating that there is no reason to bearish Bitcoin this month.
50,000 new Bitcoin entities every day
Since the price trend of BTC has not been impressive, there is no lack of bearish prospects for Bitcoin, and even its most famous price model has been criticized.
Clemente believes that if the on-chain data has any meaning, then the situation is far from bearish.
“The growth of new users has now reached a record high, with more than 50,000 new entities being added to the chain every day,” he concluded.
These new entities are likely to put pressure on foreign exchange reserves, which have resumed their downward trend-in the past week alone, nearly 18,000 BTC has left the exchange wallet.
“The retail industry has been buying in large quantities for several weeks, but we finally waited for the increase in the number of whales we were expecting,” the newsletter continued.
“17 new whales were born on the blockchain this week. At the same time, the total holdings of whales increased by 65,429 BTC.”
As Cointelegraph ReportThis week, due to other reasons, whales have appeared in the news. The establishment of a large number of short positions on the Bitfinex exchange triggered a price drop, causing BTC/USD to lose its important support of $33,000.
More broadly, by contrast, Clement sees current activity as “an increase in active whale activity.”
Never mind the slow blocking time
Elsewhere, the reason for optimism comes from the diminishing premium of Grayscale Bitcoin Trust (GBTC), despite the upcoming Unlock event.
Computing power also does not return to the challenge Recent lows At 83 exahashes per second (EH/s), you only need to worry about the number of transactions.
“In general, judging from the number of Bitcoin transactions, on-chain activity is dead,” Clement admitted.
However, even here, there is a caveat.
“If I had to build a bear market case and challenge my own point of view, this is one of the charts I would use; however, because of the slower blocking time, people who use the Bitcoin network may reduce their use of part of the Bitcoin network. “He reasoned.