Bitcoin (BTC) Records Surge in Apparent Demand as a Positive Sign

Bitcoin ($BTC) has recently witnessed a crucial change following the sideways price movements for considerable period. As per the data from CryptoQuant, Bitcoin's

Bitcoin price has seen a key change following the recent sideways price movements for a huge part of the year. According to CryptoQuant’s analysis, Bitcoin’s Apparent Demand has started an recovery.

Bitcoin is already up 13.69% after dipping to the $75k area last week, currently trading at $84,869.

Bitcoin Shows Recovery In Apparent Demand, A Positive Sign

Bitcoin has shown a rebound in its Apparent Demand, which is catching the attention of market. Apparent Demand is a measure that assesses demand changes by considering the sum of the daily subsidy over the 30 days and the 1-year change in daily inactive supply. The metric is recovering from the negative territory, which could indicate a potential shift in the market behavior.

However, there is no sign of a broader trend reversal yet.

This development is interesting in the historical context. For example, during the 2021 market cycle, Bitcoin saw a similar phase where demand stayed at or below zero for a prolonged period.

Early 2021 saw Apparent Demand hit its peak, leading to a deep decline into negative territory throughout 2022. Afterwards, during the early stages of the next rallies, we observed a recovery in Apparent Demand, but it was quickly followed by further negative readings.

Later in late 2023 and early 2024, we saw a brief return to positive Apparent Demand as Bitcoin climbed above $60K. But this year, the momentum stalled, and once again, Apparent Demand went negative.

Broader Market Trend Reversal Still Faces Huge Uncertainty

The recent signs of a rebound in Apparent Demand highlight the market’s potential shift in direction. But this metric alone cannot declare a complete market trend reversal.

Despite a pause in the selling pressure, a crucial macro bottom or accumulation phase is still uncertain.