Strong Capital Inflow in Bitcoin Markets in Jan 2024

Data from Glassnode, shows that the current realized market cap is just 5.4% away from $469 billon dollars, its all time high when Bitcoin was at $69,000.

The Bitcoin Realized Market Cap data from Glassnode, shows that the current realized market cap is just 5.4% away from $469 billon dollars which was the realized market cap at all time high.

However, Bitcoin’s price is still 38% away from its all time high of $69,000.

Will Bitcoin’s price catch up soon? Data says yes.

Realized Market Cap is a net sum of all profits and losses that have been realized by all Bitcoin users since its creation in 2009 to till date. The metric is often used in on-chain analysis to show the net inflow and outflow of money into Bitcoin or other cryptocurrencies.

When will Bitcoin’s Price Catch-up?

As per my own estimates, it could take Bitcoin take the nest 3-4 months to catch up with the price. My belief is based on the following reasons.

  • There has been high inflows into Bitcoin ETFs. Even after losing nearly $5 billion, GBTC’s Bitcoin ETF is still at $26 billion, 13x larger than its next competitor, i.e., BlackRock ($2 billion).
  • The net inflows in Bitcoin alone far exceeds the inflow in other cryptocurrencies. You can see how Bitcoin still dominates 51% of the total crypto market cap.
  • Finally as the halving approaches, we will experience more volatility in Bitcoin. Also, Bitcoin has always given superior returns post halving. See image below.
Impact of Halving Events on Bitcoins Price Trend.
Impact of Halving Events on Bitcoins Price Trend.

Disclaimer: I am myself planning to invest in Bitcoin in Feb 2024.

How to Enter Low and Sell High?

Bitcoin Weekly Charts for Price Prediction During Halving
Bitcoin Weekly Charts for Price Prediction During Halving

Easy Guide to MACD

The easiest way is to enter the markets using just the MACD indicator. This indicator shows that when the blue line(MACD Line) climbs above the orange line(Signal Line), the market is in momentum. This occurs because the MACD line indicates short term momentum, and the Signal Line indicates long term momentum.

If the short term momentum is higher than long term momentum, it clearly shows that buyer interest is increasing. Therefore, the price will also increase as more people buy.

Application to Current Markets

In the above chart setup (Weekly Charts), the MACD line is decreasing and might go down below the signal line. This shows that short term momentum is decreasing.

Therefore its best to invest a little later when MACD line is above Signal line.

Even if you are planning to invest now, the best way is to invest in multiple instalments (Dollar Cost Averaging).


Dhirendra Chandra Das is a Blockchain and DeFi expert with profound involvement in the crypto ecosystem since 2015, specializing in trading, investing, crypto journalism, blockchain consulting, and digital marketing.

With a proven track record in market analysis, portfolio management, and insightful crypto news writing, Dhirendra has been instrumental in the development and success of numerous blockchain projects, including exchanges and DeFi protocols. His technical expertise and marketing acumen have significantly contributed to project visibility and community engagement.

A committed educator and consultant, Dhirendra offers valuable insights into blockchain's potential, striving to propel the industry forward through collaboration and innovation.

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