Analyst Jamie Coutts Says Crypto Market Could Be in the Final Throes of a Bearish Phase – Here’s Why
Real Vision analyst Jamie Coutts believes that Bitcoin ( BTC ) and other digital assets may be about to break out of a bearish phase as the flagship crypto reclaims the $63,000 level.
Coutts says that increasing global liquidity and a healthy crypto ecosystem suggest that the market correction may be reaching an end before the start of a year-long bull run.
“I accept this may be premature given the state of the world geopolitically and the fact that technicals (price action) are still bearish. However, I suspect we are in the final throes of the big flush of the past months, which, for allocators, will make Q4 critical for 12-month forward returns.”
Coutts is also watching closely the altcoin season index, which measures the profitability of digital assets relative to BTC. He says the indicator is flashing bullishness.
“Seeing a sharp move higher on the alt season indicator (alts outperforming BTC). Without a sustained Bitcoin rally, which requires [greater than its] all-time high, this may be a short-lived phenomenon. But I suspect we are in the final throes of the bearish thrust.”
Source: Jamie Coutts/XCoutts says an increase in the money supply sets the stage for BTC’s next leg up, citing a historical relationship between the two.
“Ultimately, liquidity is what ultimately drives everything, and this has now turned decisively bullish.”
Source: Jamie Coutts/XHe also says that data from the analytics platform Artemis, shows smart contract platforms have had strong network activity in the past six months. Coutts says that the surge in such metrics as daily active users and daily transactions during a market correction is a positive sign for digital assets moving into the fourth quarter.
“Key crypto ecosystem fundamental metrics have performed well during the six months of price decline.”
Source: Jamie Coutts/XBitcoin is trading for $63,343 at time of writing, up more than 6% in the last 24 hours.
Don't Miss a Beat – Subscribe to get email alerts delivered directly to your inbox
Check Price Action
Follow us on X , Facebook and Telegram
Surf The Daily Hodl Mix
Featured Image: Shutterstock/prodigital art
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
You may also like
Trump's World Liberty Financial taps Chainlink as oracle provider
Franklin Templeton expands tokenized money market fund to Ethereum
Franklin Templeton has expanded its FOBXX tokenized government securities fund to Ethereum, further diversifying its blockchain presence alongside networks like Aptos and Stellar.Tokenized government securities now have a total AUM of $2.329 billion, with Franklin Templeton’s FOBXX and BlackRock’s BUIDL fund leading the market share, according to Dune Analytics.
Phantom issues emergency patch after update knocks users from iOS wallet app
This app introduces new DeFi strategies, including those powered by RWAs