The cryptocurrency market is showing promising signs of a potential bull market resurgence, with key indicators pointing towards a significant reduction in bearish pressure.
The 30-day Moving Average (30DMA) Net Taker Volume metric, a crucial measure of market sentiment, has plummeted from $15 million over 30 days to $1.8 million over the same period. This sharp decline marks the largest reduction in bearish pressure seen in the past two years.
According to Axel Adler Jr, a verified author on CryptoQuant, this decrease in bearish pressure could serve as the final signal for the start of a new rally in the cryptocurrency market. The drop in the 30DMA Net Taker Volume suggests that sellers are losing their grip, hinting at a potential shift in sentiment towards bullish territory.
Furthermore, Coinbase, accounting for 46% of all spot trading, has seen a decrease in its average daily trade volume from 25,000 BTC per day to 9,700 BTC per day. In the context of a bull market, this decline in trading volume indicates a lack of significant selling pressure, as illustrated by the yellow bars in the trading charts. This could lead to higher prices due to limited sellers and increased buyer demand, ultimately setting the stage for a potential bull market in the cryptocurrency space.
Overall, these developments create a favorable environment for trading and investing in cryptocurrencies, signaling a possible upswing in the market ahead.
