According to the latest report by Bitfinex analysts, there has been a significant change in investor dynamics in the Bitcoin (BTC) market.
While short-term Bitcoin supply has decreased by nearly one million BTC since April 13, 2023, long-term holder (LTH) supply has increased by over one million BTC during the same period. According to analysts, this change in supply confirms that the market is increasingly developing in favor of long-term investors.
Bitcoin's volatility also started October with a significant increase. Historical 24-hour volatility increased by over 340 percent on October 2, and Bitfinex analysts expect these conditions to continue for at least the rest of the month.
According to analysts, the BTC options market shows that implied volatility remains above historical volatility and is in sync with similar volatility seen in US stocks.
Interestingly, BTC seems to have completely lost its correlation with major US indices. According to analysts, this can be seen from the fact that the BTC price reached the bottom of its current range, quite a while before the S&P500 index, which had just broken out of the 4200 point level.
According to analysts, the overall US economy continues to give mixed signals. The housing market is showing signs of stress, with mortgage applications falling and pending home sales declining. By contrast, the U.S. manufacturing sector finally appears to be recovering, with the Purchasing Managers Manufacturing Sub-Index rising for the first time in nearly a year.
According to a Bitfinex report, the US labor market is showing some signs of softening. While job postings are on the rise and employment is on the rise, there are faint signs that the underlying growth is not sustainable. Much of the employment growth can be attributed to seasonal, holiday-related hiring, and full-time employment is declining in the United States.
*This is not investment advice.