💥 BITCOIN CORRECTION
BUT THE DATA STILL DOESN'T INDICATE A PEAK
$BTC Every time Bitcoin takes a hard hit, the same narrative pops up:
"The cycle is over."
"A bear market begins."
"The party is over."
But some data tells a pretty different story.
📊 The NUPL (Net Unrealized Profit/Loss) indicator measures the unrealized gains and losses of Bitcoin investors.
In other words:
It helps us understand how much profit is sitting in the market.
Historically, cycle peaks tend to appear when a large portion of participants is sitting on very high gains.
Today, we're not seeing that.
Currently, the NUPL is hovering around 16%.
A zone known as "Hope."
Far from the euphoria levels that historically accompanied Bitcoin's most significant highs.
📊 Additionally, the total market cap of crypto reached around $4 trillion.
Today, it's sitting close to $2.18 trillion.
In other words:
We're far from the levels of expansion and exuberance that characterize the most speculative phases of the cycle.
📊 And there's another interesting data point.
Global liquidity (M2) remains at elevated levels.
Historically, Bitcoin has shown a strong correlation with liquidity expansion.
That doesn't guarantee immediate price increases.
But it does provide context.
🎯 Does this mean Bitcoin can't keep correcting?
No.
Can it sideways for months?
Neither.
But a price correction and an end of the cycle are not necessarily the same thing.
While emotions are screaming fear...
the NUPL is still far from euphoria.
Global liquidity remains high.
And the market cap is well below the levels where exuberance typically rears its head.
🛡️ The price shows what's happening.
The data helps us understand where Bitcoin might stand within its cycle.
#BitcoinCycles