wave

Fidelity analyst: The pullback of Bitcoin is consistent with previous acceleration phases, and there is still a possibility of "initiating a second wave of major upward movement."

ChainCatcher news, according to Cointelegraph, Fidelity Digital Assets has questioned the view that "Bitcoin has reached a cycle peak" in its latest report, suggesting that Bitcoin may be on the brink of the next "acceleration phase."Fidelity analyst Zack Wainwright pointed out that a typical characteristic of Bitcoin's acceleration phase is "high volatility and high returns," similar to the market performance when BTC broke through $20,000 in December 2020. Although Bitcoin's year-to-date return is -11.44%, having retraced nearly 25% from its historical high, Wainwright believes that the recent performance aligns with the average retracement seen after acceleration phases in previous cycles.Wainwright believes that Bitcoin is currently still in the acceleration phase but is nearing the end of the cycle, having lasted 232 days as of March 3. Historical data shows that the acceleration phases in 2010-2011, 2015, and 2017 peaked on the 244th day, 261st day, and 280th day respectively, with each cycle lasting longer. However, historically, acceleration phases usually feature two major upward waves, with the first wave occurring after the election this time. If it can break through the previous high again, the starting point for the second major upward wave may be around $110,000.

Kaiko: The wave of liquidations in February has reduced the leverage of altcoins, potentially paving the way for a more sustained upward trend in the future

ChainCatcher news, according to a research report by Kaiko, the market slump in February triggered several waves of liquidations, significantly reducing the leverage levels of the top ten altcoins. Analysts believe that this position reset has created a healthier foundation for the cryptocurrency market, potentially paving the way for a more sustained upward trend in the coming weeks.The report notes that with the U.S. announcing the establishment of a strategic cryptocurrency reserve plan, although Bitcoin's reaction was relatively muted, overall market volatility surged, especially among altcoins. The intra-day volatility, which had been below 200% since the tariff sell-off in February, skyrocketed after the announcement, with ADA's volatility breaking 600%, marking the largest increase among major altcoins.Kaiko's analysis indicates that the inclusion of specific altcoins in the U.S. strategic reserve may accelerate the rotation of capital among altcoins, reinforcing the trend of concentrated gains in altcoins. Since last November, trading activity on U.S. exchanges has increasingly been dominated by large-cap assets. A year ago, the top ten altcoins accounted for 58% of altcoin trading volume on U.S. platforms, and 50% on offshore exchanges; as of last week, these shares have risen to 77% and 66%, respectively.
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