A crypto analyst warns that misleading narratives often persist in the cryptocurrency Market, fueled by sensational sentiment rather than accurate onchain data. In a recent report, CryptoQuant contributor “Onchained” highlighted how claims of Bitcoin long-term holders selling off are unfounded; data shows they are maintaining their positions. He emphasized the importance of trusting data and verifying sources instead of succumbing to Market noise. Analysts from platforms like Glassnode echo this sentiment, noting low sell-side pressure from long-term holders. As the crypto landscape evolves, traditional theories, including the four-year cycle associated with Bitcoin’s halving events, are being challenged, suggesting new dynamics shaping the Market‘s future.
A recent assessment from crypto analyst “Onchained” warns that misinformation is still prevalent in the cryptocurrency Market. Drawing from data provided by CryptoQuant, Onchained highlighted the issue of narratives that often lack proper on-chain validation. In a Market report dated March 22, he stated, “Beware of misinformation. Despite the data, misleading narratives persist.”
Onchained focused on the behaviors of Bitcoin long-term holders (LTH), those who have held their Bitcoin for over 155 days. Contrary to claims that these holders are “capitulating,” data indicates they are not selling. He emphasized, “Trust data, not noise; verify sources and cross-check on-chain metrics.” The Inactive Supply Shift Index (ISSI) shows minimal LTH selling pressure, contradicting sensationalist narratives and supporting a view of demand outpacing supply.
Challenging Narratives
The crypto landscape is constantly evolving, with narratives often being questioned. For instance, analytics platform Glassnode has observed subdued activity from long-term Bitcoin holders, aligning with Onchained’s findings.
Adding to the discussion, some analysts are reconsidering the traditional four-year cycle that has historically governed Bitcoin’s price patterns. MN Trading Capital’s Michael van de Poppe suggested that this cycle might be outdated, proposing a longer cycle for altcoins. Similarly, Bitwise Invest’s Matt Hougan pointed to recent shifts in governmental policy, indicating that “the traditional four-year cycle is over in crypto.”
On the other hand, some analysts, like CryptoQuant’s Ki Young Ju, predict that the current bull Market for Bitcoin may be over, forecasting several months of bearish trends ahead.
As the crypto Market continues to evolve, staying informed and relying on accurate data is crucial for investors and enthusiasts alike.
Tags: cryptocurrency, Bitcoin, on-chain data, Market analysis, misinformation in crypto, long-term holders
What are misleading crypto narratives?
Misleading crypto narratives are false or exaggerated stories about cryptocurrencies that can confuse or mislead investors. They often focus on extreme outcomes, like making huge profits quickly, and ignore the risks involved.
Why do sensational stories about crypto spread quickly?
Sensational stories about crypto catch people’s attention because they promise quick wealth or dramatic changes in the Market. Social media and news outlets often share these stories without checking the facts, making them spread rapidly.
Is it safe to trust everything I read about crypto?
No, it’s not safe to trust everything you read about crypto. Many articles and posts are written to grab attention rather than provide accurate information. Always do your own research and look for trustworthy sources.
How can I spot a misleading crypto narrative?
To spot a misleading crypto narrative, look for signs like unrealistic promises, lack of evidence, and reliance on emotions rather than facts. If something sounds too good to be true, it probably is.
What should I do before investing in cryptocurrency?
Before investing in cryptocurrency, it’s important to educate yourself. Research the project, understand the technology, and be aware of Market trends. Also, never invest more than you can afford to lose, as crypto can be very volatile.
