Well-known trader and analyst @caprioleio shared on X five reasons why he thinks this Bitcoin cycle is unique.
The record hash rate produced during the bear market, the proportion of Bitcoin held by long-term hodlers, and the expansion of the Lightning Network are a few of the most significant.
The extent of global adoption in the government Bitcoin mining industry and the number of businesses accepting cryptocurrency payments are also unprecedented.


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There is a great deal of debate and research surrounding the cyclical nature of Bitcoin (BTC). The prevailing narrative in the cryptocurrency industry appears to be the 4-year cycle set out by the BTC halving event.

particularly considering that investor mood and price action in the past have often followed a pattern of two years of gains, one year of declines, and one year of accumulation.

Some analysts are attempting to draw attention to the distinctions, even though they acknowledge the relevance of successive halves and the value of rhyming history.

@caprioleio gave a presentation on X about the most recent estimate of what distinguishes the current Bitcoin and cryptocurrency cycle from earlier ones. We describe the unique characteristics of this cycle and never-before-seen phenomena in the article below.

In a bear market, the hash rate surpasses all-time highs (ATH).
The percentage of supply held by long-term hodlers (LTH) rises to an all-time high of 76.2%.
Several nations have their governments mining Bitcoin.

Lightning Network surpasses $150 million in revenue.

Unprecedented levels of BTC adoption are being reached, and an increasing number of businesses are accepting bitcoin payments.

In a bear market, Bitcoin’s hash rate consistently breaks the ATH

The hash rate of Bitcoin is the first phenomenon that @caprioleio mentions. The number of hashes that network miners mine each second is estimated using this core network statistic. The network is essentially stronger and more secure the higher its value, because mining Bitcoin requires more processing power.

The analyst shared a graphic in a different post on X that showed that Bitcoin’s hash rate “is currently insane.” Simply compare the present figures with hash rate data from the all-time high of $69,000 in November 2021, when Bitcoin is having difficulties trading at the $30,000 level.

The hash rate of the Bitcoin network is currently around three times higher than it was at ATH.

The analyst emphasises that the hash rate often declines or gradually increases during a weak market. At the moment, Bitcoin’s network power is growing exponentially. Finally, he says:

Supply at LTH’s Hands Exceeds ATH

The beliefs and actions of long-term hodlers (LTH) are the second characteristic that makes this Bitcoin cycle special. This significant on-chain indicator burst beyond its historical all-time high in mid-2015, as @caprioleio notes in a different post.

Two cycles ago, during the bear market, LTH held approximately 75% of the supply.

With long-term hodlers controlling up to 76.2% of the BTC supply in circulation, this record has been shattered. This shows that most market players have an unparalleled level of trust in Bitcoin’s potential for further growth and in the long run. The expert continues,

Numerous countries’ governments mine bitcoin.

The mining of Bitcoin by government agencies in numerous nations is the subject of another debate. In fact, prior market cycles did not include this transformation, as individual miners or private organisations bore the majority of the mining load.

Governmental organisations’ forays into the Bitcoin and cryptocurrency mining space have increased possible investment opportunities. Additionally, it supports the legitimacy of cryptocurrency mining as a profitable industry that states can use as the foundation for their long-term financial and economic .

El Salvador: The government of El Salvador announced its plan to begin Bitcoin mining operations, including the use of volcanic energy, following the acceptance of Bitcoin as legal cash in the country.
Iran: The Iranian government has approved the mining of cryptocurrencies and may participate in this industry in a number of ways, including by providing support to mining firms.
Venezuela: The government of Venezuela has made overt investments in cryptocurrency mining, most notably with the state-created and -backed Petro cryptocurrency.

Russia: There have been rumours that state entities there are mining cryptocurrencies.

Kazakhstan: It is well known that the country’s government supports the advancement of blockchain technology and digital currencies, including mining.

Bhutan: A sizable portion of Bitcoin is owned and mined by the tiny nation of Bhutan. In light of recent reports, the country may account for as much as 1% of the network’s total computing power.

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