On-Chain Data Suggests Bitcoin Shifts From Bear to Bull Market

Crypto analyst Crypto Dan believes Bitcoin's on-chain data is indicating a shift from bear to bull market. He points to the sharp drop in the share of addresses sitting at a loss, which has historically been a sign that a bear market is ending and a bullish cycle is beginning.

The drop in UTXOs (unspent transaction outputs) below their holders' cost basis is significant, with only 71.3k being held below $76,600. This level was tested twice at the end of the 2023 bear market before the next cycle took off.

Crypto Dan also mentions that Bitcoin's break-even point for invested capital is currently around $79,800, where it keeps getting rejected, a pattern seen during the same 2023 stretch. This leaves Bitcoin stuck between these two levels.