Bitcoin rally shows signs of cooling even as a 'bull score' gauge nears its perfect score
A trend guage tracked on onchain analysis firm CryptoQuant is near its ceiling. The buyers who drove BTC to an eight-month high are already pulling back.
A trend gauge is showing signs of a cooloff after bitcoin's rally pushed it to just 10 points short of a perfect score.
Bitcoin rose 0.4% to just above $83,300 as of Wednesday Asian morning hours, down from an eight-month high near $87,400.
CryptoQuant, an onchain analysis firm, pegs its Bull Score at 90 out of 100. The score rolls onchain and market indicators into a single reading, and it jumped after bitcoin broke above its 365-day moving average last week, a break the firm treats as confirmation of a bull market.
Futures demand is cooling faster. Growth in speculative futures demand dropped from about 164,000 BTC on Sept. 14 to 16,000 BTC on Sept. 29, a 90% drop in 15 days.