A new indicator developed by CryptoQuant, a cryptocurrency analysis company, shows analysts that Bitcoin's bullish trend continues smoothly and steadily.
The indicator, called the BTC On-Chain Losses Ribbon, measures the amount of losses that Bitcoin holders suffer over different time periods.
The ribbon consists of four moving averages (MA) of losses calculated for 180, 210, 240 and 270 days. According to CryptoQuant analysts, the indicator can be used to determine the bottom or top of Bitcoin's price action in terms of network macroeconomics.
According to CryptoQuant, when the Ribbon starts to turn upside down, it usually means that Bitcoin has bottomed out. Then, when the Ribbon starts to go down rapidly, it shows that the uptrend is successfully and steadily scaling.
On the other hand, when the Ribbon starts to turn from the bottom up, it usually means that Bitcoin has reached the top. Then, if the Ribbon starts to rise rapidly, it signals that the downtrend is scaling successfully and decisively.
According to analysts, the current situation of Ribbon shows that Bitcoin is in a strong bullish phase. According to CryptoQuant, from December 2022 to January 2023, Bitcoin's bottom was marked when the indicator reached its top and gradually turned from top to bottom. In February 2023, a rapid decline began in Ribbon, signaling that the uptrend is developing steadily.
According to analysts, there is nothing that threatens the uptrend at the moment.
*Not investment advice.
