The analysts at CryptoQuant, a cryptocurrency analytics company, have spoken about Bitcoin and the market’s uptrend.
In a recent analysis, experts from CryptoQuant predict a potential growth market in 2024, and this time the market will be shaped under the leadership of institutional investors.
The data that the company examines includes Exchange Deposits, Average Exchange Entry Metric, and the price of Bitcoin.
According to the analysts, in the uptrend market in 2021, deposits on exchanges increased significantly, while the average inflow on exchanges ranked below average.
According to CryptoQuant’s analysts, this clearly indicates that the previous uptrend market was mainly driven by small retail investors speculating on price, while large institutions were less active.
The downtrend market in 2022 saw a steady decline in the number of deposits on exchanges and a corresponding decline in the interest of small retail investors.
This decline is likely due to the collapse of many cryptocurrency companies and token prices.
Interestingly, in the second half of 2023, the average inflow into the market began to increase slowly despite the continued decrease in deposits on exchanges.
According to the analysts, this trend indicates that larger investors are starting to participate in the market, engaging in activities with larger volumes, causing the Average Stock Market Entry Index to rise.
