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Further downside is expected, but multiple data points suggest Bitcoin is undervalued

Published 06/16/2022, 01:40 PM
Updated 06/16/2022, 03:20 PM
Further downside is expected, but multiple data points suggest Bitcoin is undervalued
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The outlook across the cryptocurrency ecosystem continue to dim as the sharp downtrend that was initially sparked by the collapse of Terra now appears to have claimed the Singapore-based crypto venture capital firm Three Arrows Capital (3AC) as its next victim.

As large crypto projects and investment firms begin to collapse on a weekly basis, the prospect of a long, drawn out bear market is a reality investors are beginning to accept.

Total Bitcoin supply in profit held by short-term holders. Source: Twitter (NYSE:TWTR)
Number of Bitcoin addresses holding a balance ≥ 1 BTC. Source: Glassnode
Bitcoin price vs. value. Source: Twitter
Bitcoin dormancy flow. Source: Twitter

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