A report published by asset manager Stack Funds claimed that a 90-day active supply is dictating bullish potential for BTC/USD. It is also mentioned in a report which is analyzing on-chain activity that Bitcoin (BTC) is now due for a bullish phase based on supply movements.
Stack has argued that it has important implications for historical price behavior while publishing an accompanying chart for the metric,
“The data provides an indication of two folds. Firstly, the 90d % of Bitcoin active supply has tapered over the past 3 years, from 36% to 17%, suggesting that investors’ time horizon has lengthened as Bitcoin are held over longer periods in their wallets,” the report states.
“Secondly, prior to the 2017 and 2019 bull run, where Bitcoin hit $20,000 and $14,000 highs against the dollar, there was evidence of steep surges in the 90d % active supply (depicted in the green zones).”
It is now noticed that the trend has appeared since Bitcoin’s price crash in March, an event which proved to be something of a watershed moment for traders.
“As statistics have shown, a potential run-up in Bitcoin prices can be expected, which has yet to materialise, leading us to believe that the preceding rise in Bitcoin prices could happen sooner rather than later,” Stack concluded.
Stack comes hot on the heels of a highly bullish report from Bloomberg, which last month eyed price-performance exceeding $12,000.