Bitcoin (BTC) has shown resilience over the past three weeks, maintaining a steady price above the crucial $30,000 level. Despite market fluctuations and uncertainties, leading analysts and creators of the stock-to-flow (S2F) model, PlanB, suggest that the bear market may be coming to an end.
PlanB took to Twitter to congratulate his followers for surviving what he called the "worst Bitcoin bear market ever." He accompanied the tweet with a chart showing the Bitcoin 200-Week Moving Average, which indicates a consistent upward trend and the current Bitcoin price closing above the trendline.
The sustained support at the $30,000 level has instilled confidence in conservative investors, suggesting that the negative volatility associated with Bitcoin may be diminishing. Positive fundamentals further reinforce this sentiment. MicroStrategy continues to accumulate Bitcoin, demonstrating confidence to other Wall Street firms that might be considering similar moves.
Additionally, there has been renewed interest in spot Bitcoin Exchange Traded Funds (ETFs) in recent weeks. American investment manager BlackRock Inc.'s filing for a spot Bitcoin ETF has sparked enthusiasm in the market. Other firms, including Fidelity Investments and Invesco, have refiled their applications for Bitcoin ETFs and entered surveillance-sharing agreements with Coinbase Global Inc., hoping to meet the SEC's requirements.
The combination of these positive trends and technical indicators has led PlanB to express optimism that the bear market is coming to an end. While the cryptocurrency market remains unpredictable, the steady performance of Bitcoin and the increasing institutional interest suggest a potential shift in sentiment.
As always, it is important for investors to conduct their own research and carefully assess market conditions before making any investment decisions. The cryptocurrency market can be volatile, and caution should be exercised at all times.