Will Bitcoin take 5 years to reach a new all-time high? By CoinQuora

• There is a renewed optimism in price charts as whales are eager to push BTC higher.
• A calculation that timed the last two market bottoms accurately reveals that the worst Bitcoin downturn is probably behind us.
• As the Bitcoin price recovers from the carnage, experts suggest that BTC may take five years before reaching a new all-time high.

Bitcoin recovered from the $ 17,700 level and made a comeback above $ 20,000. The $ 20,000 level is considered an important psychological level for the Bitcoin price. Despite the recovery of Bitcoin, analysts believe that the largest cryptocurrency could take years, if not months, to reach a new all-time high.

In the ongoing bear market, MVRV (365D) is considered a key measure to determine the cycle bottom for Bitcoin. Market value to realized value (MVRV) is simply the ratio that compares the market value and realized capitalization of Bitcoin to get a sense of when the asset is traded below “fair value.” MVRV has been used to detect market peaks and troughs in previous cycles.

Santiment, a cryptanalysis platform, tracks Bitcoin MVRV (365D) and helps analysts find BTC bottoms in one cycle. In January 2015, the Bitcoin MVRV (365D) fell to -56.85%, marking the end of the bear market. In the next Bitcoin cycle in December 2018, the calculation fell to -55.62%, another BTC bottom and the beginning of a new cycle.

In June 2022, MVRV (365D) fell -50.09%. At the moment, the calculation is -48.23%. This leads analysts to conclude that the worst may be behind us, and Bitcoin’s price has probably started to rise from the bottom.

Bitcoin MVRV (365D) (Source: Santiment)

There is renewed optimism among traders on cryptocurrency exchanges. Bitcoin supporters read positive signs on the asset’s network on July 4, 2022. Traders’ optimism is usually high on holidays, and the Bitcoin price has begun to consolidate after reaching the $ 20,000 level.

Interestingly, massive Bitcoin loans appeared on crypto exchanges on July 4, 2022, revealing traders’ optimism and expectation of a rise in asset prices.

Bitcoin Longs On Exchanges (Source: Santiment)

BigCheds, a cryptanalyst and trader, asked its Twitter (NYSE:) followers if Bitcoin’s price would reach its next all-time high post in five years. Over 71% of poll participants responded in the affirmative, revealing a long-term bearish outlook for Bitcoin.

Disclaimer: The views and opinions expressed in this article are solely those of the author and do not necessarily reflect the views of CoinQuora. No information in this article should be construed as investment advice. CoinQuora encourages all users to do their own research before investing in cryptocurrencies.

Continue reading on CoinQuora