The post Has Bitcoin Bottomed? This Analysis Indicates a Bitcoin Buy Opportunity appeared on BitcoinEthereumNews.com.

An analysis from CryptoQuant shows that Bitcoin may have bottomed, as its correlation with the hash price indicates. This may be the last time to buy Bitcoin at a discounted price, as historical data indicates an impending rally. According to an analysis from CryptoQuants, Bitcoin may have or is close to bottoming at the current market price. The data was based on the historical correlation between Bitcoin’s price and mining hash price. CryptoQuant indicated that the Bitcoin hash price has reached its lowest point, a signal that Bitcoin’s bottom is not far off. Bitcoin Hash Price Chart The Bitcoin hash price is the revenue miners generate per-tera hash, or the expected daily worth of 1TH/s of hashing power. This hash price is a function of the Bitcoin’s market value, mining difficulty, block subsidiary, and transaction fees. Historically, mining profitability has decreased over time. The Bitcoin network was designed to halve mining rewards every four years, thus increasing difficulty and reducing the hash price. Currently, miners only make 3.125 BTC for completing each block of Bitcoin, compared to the 50 BTC they gained in 2009. A Buy Opportunity The CryptoQuant analysis showed that Bitcoin’s correlation with the hash price means that investors who acquired Bitcoin on this level may have bought the bottom. Bitcoin is currently trading below $60,000, over 18% away from its all-time high. Data from the previous bull cycles showed that Bitcon surged considerably on this indicator. In 2017, Bitcoin rallied from under $2,000 to a peak of $19,106 when the hash price bottomed. The same scenario happened late in 2020 when the largest crypto asset surged over 660% from $10,000 to the previous all-time high of $66,953. If anything close to these scenarios reoccur, Bitcoin may have bottomed at $48,000 for this cycle and could rally past…

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Filed under: News - @ August 30, 2024 1:27 pm