"It's completely different this time" – 10 Bitcoin charts present that this rally shouldn’t be like 2017
Bitcoin (BTC) is setting new records in almost all aspects, with the exception of the USD spot price, according to a new round-up, which concludes that 2020 is not like the 2017 rally.
In a blog post on Nov. 17, Nic Carter, co-founder of the statistics resource CoinMetrics, highlighted nine charts that are higher than ever as of this week.
10 diagrams show "significant improvements"
From wallet balances over $ 10, to institutional holdings, to bitcoin spot prices in various fiat currencies, the data shows that bitcoin is outperforming at historical levels.
"In summary, today's market is far more mature, more financial, more monitored, more orderly, more cautious, less reflexive, more capital-efficient and more liquid than the market that drove the previous bull run in 2017," summarized Carter.
"In these nine charts, I've covered a number of factors that have seen significant improvements when we compare today's market environment to yesterday's bull run."
PlanB, developer of the stock-to-flow Bitcoin pricing models, provided another metric – Bitcoin's 200-week basic moving average.
Bitcoin 200-day moving average with halving events. Source: PlanB / Twitter
All serve to differentiate 2020's Bitcoin from three years ago, when a few blistering weeks at the end of the fourth quarter produced fleeting all-time highs near $ 20,000.
As Cointelegraph reported, the past few days have spawned a new round of bullish price predictions from known sources claiming that $ 20,000 will not serve as a cap this time around and that breaking the bull run will allow the bull run to continue.
For 2021, companies from crypto investors to traditional banks have set sky-high price targets, including Citibanks $ 318,000 by year-end.
"The fascination has subsided" – Analyst
But not everyone is so optimistic. Even as $ 18,000 became a reality this week, a strategist told mainstream media that the lack of advertising Bitcoin is receiving is evidence that interest has died.
"The fascination for it has subsided," said Kathy Jones, chief fixed income strategist at the Schwab Center for Financial Research, to Bloomberg.
"They have the hardcore 'I'm a cryptocurrency investor' group, but it hasn't really expanded because it was so volatile that there were so many questions about security and what regulations could do that. The number of questions that I have now is a fraction of what I got a few years ago when it was really hot. "
The perspective highlights the gap between those inside and outside the cryptocurrency. The latter were still convinced that 2017 was the height of the Bitcoin fad.
“The $ 20,000 level is clearly the next target for Bitcoin. Should we outperform this year that I think is possible, we will be on uncharted territory as the mood remains positive, ”commented Simon Peters, Cryptoasset analyst at the multi-asset investment platform eToro, Cointelegraph.
"Bitcoin's maturity, as evidenced by the diversity of its investors and the extensive and far-reaching dataset, makes us say with some concern," This time it's different "."