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What Does Bitcoin Need for Another Pump? Glassnode Founders Explained - Coin Bulletin
Blockchain analysis platform Glassnode's founders Jan Happel and Yann Alleman shared their predictions on how Bitcoin could return to six-digit prices.
Happel and Alleman, who share under the name Negentropic on social media, compare the current state of Bitcoin with similar cycles in the past.
The founders noted the similarities between the price movements at the time and the current situation, recalling the period between December 2020 and February 2021. They emphasized that during this period, liquidity outflows led to price corrections, but network growth continued. They also recalled that with the stabilization of the price and the start of a new liquidity flow, the price of Bitcoin rebounded strongly during that period.
Liquidity Flow and Network Growth Can Play a Key Role
According to Negentropic, liquidity flow could be a determining factor in Bitcoin's price increase. They stated, "This indicates the potential for price to rise when liquidity returns to the market as long as network growth remains positive."
In addition, an article published by Swissblock stated that in order for Bitcoin prices to rise again, it is necessary to halt profit realizations. The company highlighted that profit sales, especially above $90,000 and close to $100,000 levels, have decreased, but emphasized that it is critical for the price momentum that this selling pressure stabilizes completely.
Kar Realization and Selling Pressure
According to Swissblock, ongoing profit-taking among long-term investors is increasing pressure on prices. However, it is noted that these sales are decreasing. In order for the market to re-enter the uptrend zone, it is stated that these sales need to be balanced and movements that would cause large selling waves on the chart need to be prevented.