Source: Cointelegraph.com NewsA recent Fidelity Digital Assets report questioned whether Bitcoin price had already seen its cyclical \u201cblow off top\u201d or if BTC (BTC) is on the cusp of another \u201cacceleration phase.\u201d\u00a0
\nAccording to Fidelity analyst Zack Wainwright, Bitcoin\u2019s acceleration phases are characterized by \u201chigh volatility and high profit,\u201d similar to the price action seen when BTC pushed above $20,000 in December 2020.\u00a0\u00a0
\nWhile Bitcoin\u2019s year-to-date return reflects an 11.44% loss, and the asset is down nearly 25% from its all-time high, Wainwright says the recent post-acceleration phase performance is in line with BTC\u2019s average drawdowns when compared to previous market cycles.\u00a0
\nBitcoin historical downside after acceleration phases. Source: Fidelity Digital Assets ResearchWainwright suggests that Bitcoin is still in an acceleration phase but is moving closer to the completion of the cycle, as March 3 represented day 232 of the period. Previous peaks lasted slightly longer before a corrective period set in.\u00a0
\n\u201cThe acceleration phase of 2010 – 2011, 2015, and 2017 reached their tops on day 244, 261, 280, respectively, suggesting a slightly more drawn-out phase each cycle.\u201d
\nRelated: MARA Holdings plans huge $2B stock offering to buy more Bitcoin<\/p>\n
Is another parabolic rally on the cards for Bitcoin?\u00a0<\/p>\n
Bitcoin price has languished below $100,000 since Feb. 21, and a good deal of the momentum and positive sentiment that comprised the \u201cTrump trade\u201d has dissipated and been replaced by tariff-war-induced volatility and the markets\u2019 fear that the US could be heading into a recession. Source: Cointelegraph.com NewsA recent Fidelity Digital Assets report questioned whether Bitcoin price had already seen its cyclical \u201cblow off top\u201d or if BTC (BTC) is on the cusp of another… <\/p>\n","protected":false},"author":0,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[5],"tags":[],"_links":{"self":[{"href":"http:\/\/cryptospotters.net\/index.php?rest_route=\/wp\/v2\/posts\/126213"}],"collection":[{"href":"http:\/\/cryptospotters.net\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/cryptospotters.net\/index.php?rest_route=\/wp\/v2\/types\/post"}],"replies":[{"embeddable":true,"href":"http:\/\/cryptospotters.net\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=126213"}],"version-history":[{"count":0,"href":"http:\/\/cryptospotters.net\/index.php?rest_route=\/wp\/v2\/posts\/126213\/revisions"}],"wp:attachment":[{"href":"http:\/\/cryptospotters.net\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=126213"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/cryptospotters.net\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=126213"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/cryptospotters.net\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=126213"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}
\nDespite these overhanging factors and the negative impact they\u2019ve had on day-to-day Bitcoin prices, large entities continue to add to their BTC stockpiles.\u00a0
\nOn March 31, Strategy CEO Michael Saylor announced that the company had acquired 22,048 BTC ($1.92 billion) at an average price of $86,969 per Bitcoin. On the same day, Bitcoin miner MARA revealed plans to sell up to $2 billion in stock to acquire more BTC \u201cfrom time to time.\u201d\u00a0
\nFollowing in the footsteps of larger-cap companies, Japanese firm Metaplanet issued 2 billion yen ($13.3 million) in bonds on March 31 to buy more Bitcoin, and the largest news of March came from GameStop announcing a $1.3 billion convertible notes offering, a portion of which could be used to purchase Bitcoin.\u00a0
\nThe recent buying and statements of intent to buy from a variety of international and US-based publicly listed companies show a price-agnostic approach to accumulating BTC as a reserve asset, and it highlights the positive future price exceptions held among institutional investors.\u00a0
\nWhile it is difficult to determine the impact of institutional investor Bitcoin purchases on BTC price, Wainwright said that a metric to keep an eye on is the number of days during a rolling 60-day period when the cryptocurrency hits a new all-time high. Wainwright posted the following chart and said,\u00a0
\n\u201cBitcoin has typically experienced two major surges within previous Acceleration Phases, with the first instance of this cycle\u2019s following the election. If a new all-time high is on the horizon, it will have a starting base near $110,000.\u201d\u00a0
\nBitcoin\u2019s number of all-time high days (rolling 60 days). Source: Fidelity Digital Assets ResearchThis article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.Read More<\/a><\/p>","protected":false},"excerpt":{"rendered":"