Bitcoin has slipped below $100,000, causing concern among investors about whether the bull market is over or just taking a pause. Historically, such corrections have been part of Bitcoin's cycles, often paving the way for upward momentum.
Analysts are closely examining on-chain metrics for insights into Bitcoin's current phase. An analyst from CryptoQuant, Avocado Onchain, noted key indicators like SOPR and MPI, signaling the market's ongoing bull cycle. The SOPR trend suggests reduced profits for sellers, hinting at potential sentiment shifts and possible rebounds.
The Miner Position Index shows miners holding Bitcoin, indicating confidence in its long-term value, despite operational sell-offs for costs. Network fees, reflecting trading activity, have declined, pointing to a temporary market cooldown followed by bullish trends.
Funding rates, crucial for gauging market sentiment, show a downward trend, hinting it might be a good time for long-term investors to consider entering. On-chain data suggests a pause, not the end of the bull cycle, although short-term movements remain uncertain.
