Ki Young Ju, the CryptoQuant CEO claimed today in a tweet that a new Bitcoin bear market has been confirmed, noting that BTC whales have started sending large numbers of coins to exchanges. which he says is a sign of “Capitulation”.
Ki is basing his claim on the Exchange Whale Ratio, which he claims to have been using for years. You can see the data for yourself on the CryptoQuant website here.
Although Ki does seem pretty convinced we have now entered a new Bitcoin Bear cycle, he did point out that “a single indicator can’t tell the future for sure. Anything can happen in the crypto market. And it wouldn’t be the first time Bitcoin has signalled what turned out to be a bear trap.
Bitcoin earlier dipped below $32,000, with severe selling pressure coming amid the Chinese government’s increasing hostility towards crypto. Even the news of MicroStrategy’s huge almost half-billion dollar purchase of Bitcoin failed to prevent further bearish activity.
It’s fair to say that Bitcoin is well on track to it’s second worst quarter since 2013, with Q2 of 2021 being the worst in terms of price action for Bitcoin since the 2018 crypto winter. Although it’s still up 10% Year-to-date, Skew.com points out that BTC lost over 45% from it’s all time high in the second quarter of this year, despite gigantic purchases from major corporations, and increasing inflation in the fiat markets.
The widely publicised news of the “death cross” for Ethereum seems to also be adding to the FUD, and of course, when Bitcoin falls, most of the Alts tend to fall with it.