Bitfinex Alpha | Fed Hikes to Continue but On-chain Data Shows the Bottom Might Be Near

Bitfinex Alpha | Fed Hikes to Continue but On-chain Data Shows the Bottom Might Be Near

Interest Rates Mix
November 16, 2022 by Admin
122
How does on-chain data indicate that the bottom of the market may be near for the Fed’s decisions? Bitfinex Alpha | Fed Hikes to Continue but On-chain Data Shows the Bottom Might Be Near With crypto prices on a wild ride and volatility at an all-time high, investors are wondering when the bottom of the
744 bitfinex alpha fed hikes to continue but on chain data shows the bottom might be near

How does on-chain data indicate that the bottom of the market may be near for the Fed’s decisions?

Bitfinex Alpha | Fed Hikes to Continue but On-chain Data Shows the Bottom Might Be Near

With crypto prices on a wild ride and volatility at an all-time high, investors are wondering when the bottom of the current crypto bear market will arrive. While many are hoping they can time the markets and jump in at the right moment, it may be best to look at on-chain data and see what it has to say.

At Bitfinex Alpha, our team has been studying the data coming in and it looks like the recent Fed hikes may continue but on-chain activity and data appears to be showing a different story. Namely, that the bottom might be near.

It’s important to note that no one can predict markets with 100% accuracy and these are only predictions of what may happen, not a guarantee. But our team has analyzed the key data points and have seen several signals that seem to indicate the bottom of this bear market might be near. Here are a few of the key signals we’ve seen:

  • Different types of on-chain activity, such as miner revenues, transfers and wallet activity are all showing signs of bottoming out.
  • The Bitcoin network hash rate is declining steadily, which indicates the miners may be signaling that the market will turn around soon.
  • The number of unique transactions is increasing, indicating that more people are utilizing the Bitcoin network.
  • The amount of money waiting in orders (buy/sell) is decreasing, indicating that the large players may be done selling and are ready to buy.

Of course, it’s important to remember that these signals can change and prices can still go down further before the bottom is hit. However, the data we’ve seen indicates that the bottom may indeed be near.

If you’re an investor looking to capitalize on the bottom, the best advice would be to keep a close eye on the markets and, more importantly, pay attention to the on-chain data. At Bitfinex Alpha, our team is constantly monitoring the latest data and analyzing the markets so that investors can better understand the current state of the market and make more informed decisions.