The Bitcoin Exchange Stablecoin Index Hits 12-Month Low as Bullish Sentiment Prevails
The Bitcoin Exchange Stablecoin index has recently fallen to its lowest level in over a year, according to data from CryptoQuant. Currently standing at 0.00009749, the index has dropped by 15% since the start of the year.
The Exchange Stablecoin Ratio measures potential buying pressure in the Bitcoin market by comparing the amount of BTC held on exchanges with the total amount of stablecoins. A low ratio indicates increased buying pressure, while a high ratio suggests more selling pressure.
A recent report by CryptoQuant analyst CryptoOnchain noted that despite facing resistance at the $70,000 price level, Bitcoin could potentially rally with selling pressure at its lowest level since March 2023.
Meanwhile, another analyst, Crypto Sunmoon, highlighted that Bitcoin is currently experiencing its longest period of bullish sentiment in the futures market. The currency’s funding rates indicate a lack of bearish sentiment, making it a potential buying opportunity in case of a significant price drop.
In the short term, the bullish sentiment is expected to continue as BTC futures open interest has been on the rise. With the leading crypto asset trading at $70,446 and recording a 7% price increase in the last week, investors are keeping a close eye on the market dynamics.
As Bitcoin continues to make headlines, with predictions and analyses shaping the market, the cryptocurrency remains a key player in the financial world, attracting both seasoned traders and new investors.