Popular on-chain analyst Will Clemente says that a Bitcoin supercycle is in the cards as long-term BTC holders are changing the market structure of the leading cryptocurrency.
Clemente tells his 205,900 Twitter followers that the illiquid supply ratio, a metric that tracks the number of illiquid coins relative to overall BTC supply, has been in a strong uptrend ever since Bitcoin recovered from the pandemic-induced panic last year.
“If I had to use one chart to argue that we are in a ‘Supercycle’ it would be this. Macro HODLing (hold on for dear life) behavior has shifted after March of last year. Makes a convincing case for the end of the 4-year cycle.
Source: Will Clemente/Twitter
A Bitcoin supercycle is a thesis suggesting that BTC will continue rallying and print fresh all-time highs instead of entering a bear market and having massive 80% drawdowns just like what happened during the end of the 2013 and 2017 bull cycles.