• Bitcoin has seen a 30% surge in price over the last seven days, reaching $26,600.
• The total value locked on Bitcoin has increased significantly, indicating that investors are willing to trust in cryptocurrency.
• On-chain metrics suggest a potential bull market for Bitcoin as it recovers from a bear market.
Bitcoin’s Strong 30% Weekly Surge
Bitcoin has surged impressively in the past seven days, bringing its price back to levels last seen in June 2022. Concerns over liquidity due to banking crashes have caused investors to diversify their portfolios and seek risk reduction, leading to an increase in the total value locked on Bitcoin of $142.31 million—the highest since May 5th, 2022. This impressive growth is instilling renewed confidence among investors and is signaling a positive outlook for the crypto market.
Traditional Banks Struggle
All three US-facing crypto banks were liquidated in the span of three days, leading some to speculate that it was a targeted attack. However, Bitcoin has emerged unscathed and even increased in value by 30%. In response to this situation, investors have been diversifying their portfolios and looking towards cryptocurrencies as means of reducing risk and addressing inadequacies of traditional financial systems.
On-Chain Metrics Indicate Positive Signs
Glassnode’s „Recovering from a Bitcoin Bear“ dashboard shows promising signs for Bitcoin’s recovery; monitoring eight key indicators which suggest that it is transitioning from a bear market into one of recovery or new growth. These on-chain metrics indicate potential for future bullish momentum across the cryptomarket.
Total Value Locked (TVL) Increases
The increase in total value locked on Lighting Network provides evidence that investors are optimistic about Bitcoin’s growth potential and willing to place their trust in cryptocurrency markets. This surge further indicates that traders recognize the value of digital assets such as Bitcoin during times of market chaos and instability caused by traditional banking collapses.
Cryptocurrency Market Cap Surpasses $1 Trillion Mark
The recent gains made by other cryptocurrencies have led to the total cryptocurrency market cap surpassing the $1 trillion mark—a significant milestone for digital asset markets worldwide. Such impressive growth is an indication that cryptocurrencies are increasingly being recognized as viable alternatives for investment amidst global macroeconomic uncertainty brought about by traditional finance sector issues such as banking collapses and liquidity concerns