Analytics provider, Glassnode reports that on-chain-indicators suggest that Bitcoin bulls are slowing down activities in the market.
Tuesday’s on-chain report noted a decline in the number of BTC whales as the price of BTC slipped below $55,000 resistance level. BTC trades at $53,913 at press time.
Traders are sitting on the sidelines as the sideways action is just grinding slowly towards lower support levels.
Most alternative coins have followed along on the way down, and the crypto market cap has seen over $130 billion evaporated.
BTC after several unsuccessful attempts to reclaim $60,000 remained stuck around $58,00 for a while. However, after bears took over the market, BTC price trajectory went sideways vigorously. After reaching a daily high of $58,500, it plummeted by roughly $5,500 to just below $53,000.
Additionally, BTC’s dominance has also suffered by dropping below 60%. Approximately a week ago, the metric comparing BTC’s market cap with all other cryptocurrencies was well above 62%.
XRP surge, USDT overcomes BNB as altcoin wallows in red
Just as it happens when BTC price goes sideways, majority of the altcoin have followed its leader. Ethereum leads the pack with a 7% drop to well below $1,700.
A 4% drop for Binance Coin to $254 has helped Tether overcome BNB as the third-largest cryptocurrency by market cap. Cardano (-9%), Polkadot (-6%), Litecoin (-5.5%), and Chainlink (-7.5%) are also deep in red.
In contrast, Ripple has jumped by more than 10% following reports suggesting that XRP could be relisted on US-based exchanges.
As a result, the token has surged above $0.56. THETA has doubled-down on its recent bullish run by another 15% increase to $11. Consequently, THETA surpassed LINK in terms of market cap and is currently in the top ten.
Further losses come from Harmony (-20%), Siacoin (-19%), Helium (-15%), Terra (-14%), VeChain (-14%), IOST (-13%), Nexo (-12%), Enjin Coin (-12%), Flow (-12%), Zilliqa (-12%), and more.
Ultimately, the cumulative market capitalization of all cryptocurrency assets has declined by more than $130 billion to beneath $1.7 trillion.
It is the end of Bitcoin bull cycle – Analysts
Glassnode has speculated that the end of the bull season may be looming. Chinese mining pool CEO, Jiang Zhuoer also speculating the bull market could be over as soon as September.
He said that a general economic recovery amid COVID-19 vaccine rollouts. Jiang also noted that waning interest in crypto assets with large corporations such as Tesla and MicroStrategy adding Bitcoin to their treasury reserves cease to continue as likely catalysts for a market reversal.