CryptoQuant CEO Highlights Bear Market for Bitcoin: Key Factor That Could Change It

According to Ki Young Ju, CEO of CryptoQuant, Bitcoin may be entering a bear market unless there is a resurgence of macro liquidity, particularly through spot ETFs, in the market. Ju shared insights via a composite on-chain dashboard that illustrates how Bitcoin's on-chain indicators currently lean bearish. He emphasized on X that, 'The majority of Bitcoin on-chain indicators are bearish. Without fresh macro liquidity, we may be entering a bear cycle.' His analysis uses a chart that overlays ten metrics from CryptoQuant, including the MVRV Z-score, P&L index, and various liquidity measurements, indicating current bearish conditions as the price of Bitcoin retreats from recent highs. Ju argues that for any potential recovery in prices, new ETF inflows are crucial, as they have previously coincided with price appreciation. He advises investors to be responsive to macro conditions rather than rigid in their forecasts, underscoring that existing market dynamics could reshape the outlook. Despite current bearish signals, Ju suggests that Bitcoin's substantial liquidity channels and institutional interest may mitigate the risk of a drastic downturn like in 2022, where Bitcoin saw a significant drop. He reassures long-term investors to avoid panic selling, noting that the long-term outlook remains strong due to improved market structures. Bitcoin was priced at $92,494 at the time of reporting.