Ki Young Ju, CEO of CryptoQuant, noted a significant parallel between current Bitcoin market activity and mid-2020 events.
Ki Young Ju, the founder and CEO of CryptoQuant, observed a significant parallel between the current activity on the Bitcoin market and the events that occurred in the middle of 2020. Ki’s findings, published on X on May 31, revealed a relatively high level of on-chain activity and a dramatic increase in Bitcoin accumulation.
This is reminiscent of the accumulation period that occurred in 2020, which resulted in BTC reaching a peak of $64,000 by April 2021. The “BTC: Realized Cap for New Whales” comparative chart that Ki has created demonstrates tremendous movement into BTC, despite the fact that price volatility is quite minimal.
There was a wide range of reactions from the community to Ki’s results, despite the fact that the pattern suggests that whales may be accumulating Bitcoin and that market interest has increased. One user on X expressed pessimism, pointing out that the price is not “going up” despite the accumulation and ETF inflows, while another person questioned whether Bitcoin is “still a few months away from a breakout.
Bitcoin’s accumulation phase in 2020
For a number of months in 2020, the price of Bitcoin remained stable around the $10,000 mark. During this period, there was a rise in the amount of activity that took place on the blockchain, which was later associated with over-the-counter (OTC) transactions, as Ki mentioned.
Because of this accumulation phase and the tremendous activity that occurred, the price of bitcoin eventually reached approximately $29,000 by the end of 2020. According to Ki’s chart for 2024 vs. 2020, the current market characteristics closely resemble the previous lead-up to a bull run, presenting a similar historical parallel and high expectations.
The comparison between the two years confirms this .Cryptocurrency researchers believe that the price of Bitcoin is currently attempting to overcome its “last resistance” of $69,000 before reaching new all-time highs (ATHs), which is a peak that was reached during the bull run of 2021.
CryptoCon, a pseudonymous cryptocurrency expert, recently hailed the present low volatility near prior ATHs as “healthy price action.” This is in contrast to the community’s speculation, which was spurred by the continued daily accumulation of one billion BTC.