On-chain Indicators Scream Bitcoin Bull Market as the BTC Price Roars Back

cryptonews.com:

Bitcoin’s latest resurgence, which saw the world’s largest cryptocurrency by market capitalization hit a new nine-month high in the mid-$26,000s on Tuesday, has been accompanied by a number of key technical and on-chain indicators roaring back to health and once again send a bullish BTC signal.

Though the Bitcoin price has dropped back below the $25,000 mark once again as of the Wednesday Asia Pacific session, BTC is still up over 27% versus last week’s lows in the mid-$19,000s. At the time, concerns about a series of high-profile failures of crypto/start-up/tech-friendly banks was weighing on the price.

But bulls aggressively defended key long-term in the form of the 200DMA and Realized Price (both in the $19,700-800 range). Then, news over the weekend that US authorities would be stepping into 1) protect depositors and 2) introduce a new $25 billion bank liquidity program to strengthen balance sheets helped propel BTC higher.

Other key narratives pumping the rally include 1) the idea that financial stability concerns make significant further Fed tightening much less likely and 2) financial stability concerns boost the appeal of Bitcoin, which represents an alternative, decentralized financial system.

Bitcoin’s strong defense of its 200DMA and Realized Price has also helped spur confidence in the rally. After showing some signs of weakness last week, the latest rally has sent a number of key on-chain metrics trending in the right direction.

More specifically, if Bitcoin can hold onto recent gains and/or extend upside towards the next key resistance around just above $28,000 (as many technicians now deem likely), crypto analytics firm Glassnode’s widely followed “Recovering from a Bitcoin Bear” dashboard of on-chain and