The velocity of circulation of bitcoins has reached the lowest point over the past eight years. Investors should be more “realistic” to assess the prospects for the completion of the bear market in late 2018. And even in the medium term. Their opinions and data on this shared date-analyst Willie Woo. According to currently the velocity of circulation of bitcoins corresponds to that of 2010, when the ecosystem of cryptocurrencies was only a few months old.
Echoes of the collapse of the era of speculation on Bitcoin
Willie Woo in his Twitter account has shared new data on the quarterly velocity of bitcoin against the dollar. Now we see what has happened in 2010. Wu notes that while Silk Road was not there, and the exchange Mt Gox was only 2 months. Accordingly, there was no one to spur the movement of funds. According to Wu, Bitcoin correction after a surge to 20 thousand may last for some period of time.
Quarterly monetary Bitcoin velocity at its lowest point since Sep 2010. Back then we were in the mining era  of the coin. Silk Road had yet to appear to drive the velocity up and Mt Gox was 2 months old, speculation had barely begun. pic.twitter.com/82UDUiMlX6
— Willy Woo (@woonomic) October 29, 2018
Not so easy to deploy a bear market, when the appeal is not a sufficient amount of fuel, that is actively used money. A contact point shows bearish sentiment, so I would not be so optimistic in the medium term.
The velocity of money is the rate or frequency with which the currency passes from hand to hand. Studies show that a sharp decline in circulation of bitcoins began after highs in December 2017. Now investors prefer to accumulate and store cryptocurrencies.
Recall that to provoke an active movement may launch the long-awaited Intercontinental exchange Bakkt. The launch is scheduled for mid-December, and the exchange is intended to act as a bridge between scriptactive and institutional investors. More data look at cryptodata.
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