The head of blockchain analytics firm CryptoQuant, Ki Young Ju, indicates that the current volatility and on-chain activity resemble the period when Bitcoin was trading at $10,000.

Ki Young Ju notes that the current landscape of Bitcoin’s price development mirrors the mid-2020 timeframe. During that period, the largest cryptocurrency by market value remained around the $10,000 mark for several months before surging beyond $60,000.

In a post on May 31, the CryptoQuant CEO highlighted that despite relatively low price volatility, on-chain activity remains robust. Approximately $1 billion in crypto is being accumulated daily among whale wallets, likely for custody purposes.

“Same vibe on Bitcoin as mid-2020. Back then, BTC hovered around $10,000 for six months with high on-chain activity, later revealed as OTC deals.”

As of now, Bitcoin is trading at around $68,000. The cryptocurrency has maintained a range between $65,000 and $70,000 for several weeks, suggesting that if it follows a similar pattern to mid-2020, significant volatility may not occur until late 2024 or early 2025.

Bitcoin still has the potential to surprise its holders. While this is the first time Bitcoin has set a new all-time high before halving, historical data suggests that the cryptocurrency typically experiences significant returns only after 300-500 days following halving events. With the latest halving occurring on April 19, Bitcoin still has at least 260 days before significant price movements may become apparent.

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