A current report from Glassnode signifies that Bitcoin (BTC) community well being is near its most regardless of the current halving of miner rewards.
On-chain BTC Index
The corporate has not too long ago launched its on-chain BTC Index (GNI) that captures a lot of key on-chain metrics and combines them into simply digestible charts and numbers.
The GNI has decreased from 76 factors to 74 factors since final week. Nevertheless, one of many key metrics, ‘Community Well being,’ which mixes community development and community exercise, has jumped 6 factors, from 88 to 94. The 2-point dip in GNI is usually because of the vital lower in “Sentiment” as captured by investor sentiment and saving habits, which dropped 23 factors within the week culminating within the halving.
Bitcoin is unstable
Based on the report, we’re presently witnessing neither a bull, nor a bear market, as two of the important thing indicators diverge — the value momentum was unfavorable whereas on-chain indicators remained robust. Nevertheless, the asset appears nearer to a bull than bear breakout.
Bitcoin’s hashrate is among the most essential indicators of the community’s well being. Some have been predicting a so-called “loss of life spiral” after the halving. Nevertheless, the report factors out that the hashrate has shortly recovered after the preliminary post-halving drop.
The next week, the primary full week after the halving, will probably be a superb indicator of how the mining ecosystem has coped with the lower within the block reward.