- \n
- Most addresses continued to hold Bitcoin despite the market drawdown.<\/em><\/li>\n
- The velocity at which BTC was trading had surged materially.<\/em><\/li>\n<\/ul>\n
Bitcoin\u2019s [BTC]<\/a> recent decline in price has sent shockwaves across the crypto sector. However, despite the decline in price, HODLers remained positive.<\/p>\n
Will HODLers stay put?<\/h2>\n
Bitcoin HODL waves indicated that Only less than 10% of Bitcoin had been moved in the last months, the majority of the tokens were being HODLed by the addressees.<\/p>\n
This could be interpreted in a few ways. On one hand, this indicated long-term confidence amidst addresses. Holders might believe that this is a temporary dip and that the king coin\u2019s price will recover in the long run.<\/p>\n
On the other hand, this could also mean that investors may be unwilling to sell their Bitcoin at a price lower than what they bought it for and are reluctant to sell their BTC at a loss.<\/p>\n
![\"Bitcoin](\"https:\/\/ambcrypto.com\/wp-content\/uploads\/2024\/06\/GRQ0xIAaAAAzAjA.jpeg\")
<\/a><\/p>\nSource: X<\/p>\n<\/div>\n
However, according to the Bitcoin cycle indicator, the market is the least bullish it\u2019s been since September 2023.<\/p>\n
The indicator suggested that we might be in the late stages of a bull run, transitioning into a bear market characterized by declining prices.<\/p>\n
It could also indicate a decrease in overall investor optimism about Bitcoin\u2019s price in the near future.<\/p>\n
![\"\"](\"image\/svg+xml,%3Csvg%20xmlns=\")
![\"\"](\"https:\/\/ambcrypto.com\/wp-content\/uploads\/2024\/06\/GRKPlonXwAEvWJa-scaled.jpeg\")
<\/a><\/p>\nSource: CryptoQuant<\/p>\n<\/div>\n
How are Bitcoin miners holding up?<\/h2>\n
Another factor that can impact Bitcoin\u2019s price in the long run, would be the state of miners.<\/p>\n
Recent data indicated that the current decline in hash rate is as severe as the one observed during the collapse of the FTX exchange in late 2023.<\/p>\n
A significant drop in hash rate could weaken the security of the Bitcoin network, making it more centralized.<\/p>\n
Moreover, this can also result in miner capitulation. If miners start selling their Bitcoin in large quantities to remain profitable, it could create additional downward pressure on the price.<\/p>\n
However, a network hashrate drawdown is also indicative of a market bottom. If history repeats itself, the price of Bitcoin could rally in the future.<\/p>\n
- The velocity at which BTC was trading had surged materially.<\/em><\/li>\n<\/ul>\n
![\"\"](\"https:\/\/ambcrypto.com\/wp-content\/uploads\/2024\/06\/GRPjMRSWQAAIS7M.jpeg\")
![\"\"](\"https:\/\/ambcrypto.com\/wp-content\/uploads\/2024\/06\/Bitcoin-BTC-12.47.30-30-Jun-2024.png\")