Note that last week was the most profitable week for BTC since April 2019. At that time, it ended with the first cryptocurrency rising from $3,000 to $14,000 for several months.

Such phenomena in the cryptocurrency market are known as “rallies”, which describe a marked rise in digital assets on a bearish trend. As you can see from the chart above, Bitcoin then not only managed to correct, but also experienced one of the sharpest collapses in its history in the spring of 2020, when a pandemic panic gripped the world.

Despite this, criticism of cryptocurrencies now abounds too. It was published tonight by White House officials inside the US President’s economic report for 2023. According to the author, “crypto-assets lack any fundamental value and are also not an effective alternative to fiat money”. In addition, it is claimed that “digital assets are highly volatile and associated with fraud”.

The document also mentions that digital assets are predominantly speculative investments and a risk to financial innovation, and do not perform all the functions of money. And that’s funny, because the day before it was banks that created the risk to the safety of ordinary people’s money, not blockchain-based coins.

Bitcoin begins a new phase of growth

Last week, the number of BTC transactions per day, averaged over the entire month, reached the 309.5 thousand transfer mark. This is a record high since April 2021. According to CryptoSlate sources, the record is also well above the yearly average.

The increase in the number of transactions per day indicates an increase in activity on the Bitcoin network. This process is a direct consequence of the cryptocurrency’s growing acceptance and investor interest, which can now be linked to the crisis in the banking sector. The latter is also confirmed by a record rise in the value of BTC over the week.

The report also notes that the number of individual new users of the cryptocurrency – with both regular investors and organisations – is the best metric to gauge adoption. This metric has recently grown to 122,000 new users per day. That said, only 10.2 percent of the previous days saw higher adoption rates – we’re talking about time periods during the 2017 bullrun peak and the 2020-2021 growth trend.

Miners are among the first to feel the change in the Bitcoin ecosystem, with their daily earnings rising to $22.6 million.

Mining yields have peaked since June 2022. According to analysts, these results are enough to start discussions about a new global bullrun of the crypto market. That said, the share of “hot coins”, i.e. frequently moved BTCs, is still close to cycle lows. This suggests that most long-time bitcoin owners are in no hurry to lock in profits yet.

Another important indicator is URDP or UTXO Realized Price Distribution. It shows the price limits at which certain Bitcoin UTXO groups have been created.

As a reminder, UTXO or unspent transaction output is the balance of cryptocurrency that Bitcoin and some other coins users receive from each transaction. The creation of UTXO speaks to the execution of a transfer, meaning it is used as another tool to gauge activity on the network.

Back to the indicator. Each column in the indicator chart shows the number of existing bitcoins that last moved within the specified price range. As of March 20, more than 50 per cent of UTXOs, that is, transactions made, were created on the plus side.

By comparison, on November 21, 2022, during the formation of the bottom of the bear cycle, only 23 percent of UTXOs were held in the plus.

When analysing the URPD by price level, it will be clear that Bitcoin has been actively bought by various market players since November. Their most active group was retail investors – those with balances of less than 1 BTC.

Glassnode analysts summed up their report with the following quote.

Crypto investors experienced one of the strongest rises in Bitcoin during the week. All this is on the back of stress, consolidation and liquidity injections into the global banking system. Several indicators suggest that the crypto market is emerging from conditions historically associated with deep bearish trends and returning to bullish territory.

If we assess the major cryptocurrency more globally, the indicators become even more optimistic. According to the Blockchain.com platform, 88.5 percent of the time Bitcoin has been profitable for investors. To be more precise, that’s 4,065 out of 4,593 days, Cointelegraph reported.

In other words, if an investor bought BTC during any of the time periods marked in green in the chart above, they can sell their coins at a profit right now. The exception is the bull run period of 2021, when Bitcoin reached its all-time high of $69,000.

Accordingly, buying and simply keeping BTC in a safe place is hardly the easiest path to success for every crypto investor. The major cryptocurrency may soon enter a new cycle of the global bull run, so the digital assets are clearly worth getting interested in. At the scale of the crypto market, BTC minimises risk and can still generate relatively large returns.


We don't think we should expect Bitcoin and other cryptocurrencies to rise unambiguously, because anything can happen in the digital asset industry. However, the trend of changing attitudes towards crypto among ordinary people is really felt right now, and banks are contributing to it. They were the ones who faced massive deposit withdrawals the day before, which could not be dealt with. Consequently, even centralized crypto exchanges with a transparent reserve system now seem to be more reliable than the traditional financial system.


More other interesting news can be found in our crypto-chat of former millionaires. There we will dream of better times and higher rates.