Several on-chain metrics from the Bitcoin (BTC) network are flashing buy signals following this year’s rally.
Bitcoin has broken out of its torpor to notch up a 37% gain since the beginning of 2023. However, on-chain data is still signaling it could be a “generational buying opportunity,” according to analysts.
On Jan. 24, researcher and technical analyst “Game of Trades” identified six on-chain metrics for his 71,000 Twitter followers.
The first metric is an accumulation trend score highlighting zones of heavy accumulation in terms of entity size and the number of coins bought.
“Large entities have been in deep accumulation mode ever since the FTX collapse,” the analyst noted, adding that “similar accumulation took place in the 2018 and 2020 bottoms.”
Bitcoin: 6 on-chain metrics calling for a generational long-term buying opportunity
— Game of Trades (@GameofTrades_) January 23, 2023
The Bitcoin entity-adjusted dormancy flow is a measure of the ratio of the current