From Bear to Bull: Analyst Says Bitcoin UTXO Data Points to a Cycle Shift

Bitcoin barely reacted to CLARITY's failure, and one analyst says it's the clearest sign that markets are in a bad news doesn't matter phase. Bitcoin’s share of addresses sitting at a loss has dropped sharply, and on-chain analyst Crypto Dan says moves of that size have historically ended bear markets rather than just producing a short bounce. The call went out following two macro jolts that hit crypto: a Fed rate hike and a stalled Senate vote on the CLARITY Act. Why the On-Chain Picture Looks Different Crypto Dan’s argument centers on UTXOs, the individual chunks of BTC in wallets, and how many currently sit below what their holders paid for them. That share has fallen by a wide margin, and the analyst pointed to past cycles where drops of a similar size didn’t just produce a brief bounce; they closed out the bear phase entirely. “Looking at previous market cycles, declines of this scale have represented more than just short-term rebounds,” he wrote. “They have shown enough momentum to bring bearish phases to an end and transition the market into a bullish cycle.” He flagged the rate hike and the CLARITY Act’s failure as near-term risks, but argued that neither had been enough to...