<span style="font-weight: 400">The ongoing Bitcoin(BTC) slump is wearing out investors and has dashed many hopes for a swift recovery. Many crypto experts and analysts like the ones at JPMorgan have pointed to an incoming bear market. But analytics firm CryptoQuant has recently stated that Bitcoin is nowhere close to entering a bear market. To explain its position, the firm used the <a href="https://cryptoquant.com/quicktake/60f6826a6dbd5f119dfe5fb0-We-are-not-in-a-bear-market-MVRV?utm_source=twitter&amp;utm_medium=sns&amp;utm_campaign=Quicktake&amp;utm_content=gaah" target="_blank" rel="nofollow noopener">MVRV ratio</a> that shows Bitcoin spot price still hasn’t met the conditions that can be described as bearish.</span>
<h2><span style="font-weight: 400">CryptoQuant Uses Data to Show Bitcoin Is Not Close to Bear Market</span></h2>
<span style="font-weight: 400">On Tuesday, CryptoQuant tweeted a chart to elaborate on the MVRV ratio, which stands for </span><span style="font-weight: 400">market-value-to-realized-value ratio. It shows the ratio of an asset’s market capitalization to its realized capitalization, which helps understand if an asset’s value is above or below the “fair price.”</span>

<span style="font-weight: 400">According to the firm, Bitcoin is yet to plunge as deep as its price after the 2017 all-time high of $20,000. This suggests that the current pullback is a good investment opportunity rather than a widely feared bear market.</span>

[embed]https://twitter.com/cryptoquant_com/status/1417431398814666755[/embed]
<h2><span style="font-weight: 400">Bitcoin Inflow Reaches Highest levels, New Wallets Continue to Decline</span></h2>
<span style="font-weight: 400">Gary Black, managing partner at The Future Fund and formerly the CIO at <a href="https://www.cryptoknowmics.com/news/ethereum-may-overcome-bitcoin-as-store-of-value-but-not-gold-due-to-high-volatility-says-goldman-sachs/">Goldman Sachs</a> Asset Management, tweeted another update on Bitcoin’s inflows and wallets.</span>

<span style="font-weight: 400">In his tweet, Black noted that Bitcoin has lost 52 percent of its value since its all-time high in April of $63,400. He added that net inflows on Coinbase Pro wallets have also hit their highest levels, while new wallets accumulating the asset have plummeted considerably. This is normally perceived as an indicator of bearish activity.</span>

[embed]https://twitter.com/garyblack00/status/1417403259401166884[/embed]

<span style="font-weight: 400">However, Black asserted that he continues to hold Bitcoin despite its volatility and lack of intrinsic value support and proof that it's an effective bet against inflation.</span>
<h2><span style="font-weight: 400">Cryptocurrencies Are Tumbling Due to Shaky Investors</span></h2>
<span style="font-weight: 400">Meanwhile, Market Insider has published an article focused on the decline of crypto markets and the role played by fearful investors in the downturn. The article indicates that many investors have become risk-averse in the current environment.</span>

<span style="font-weight: 400">Predictably, all eyes are on the price of the primary cryptocurrency Bitcoin, which dipped by 5.6 percent on Tuesday, while retesting its support of $30,000. At the time of writing, the asset was trading at $29,840.</span>

<span style="font-weight: 400">Edward Moya, a senior analyst at OANDA thinks that Bitcoin is the riskiest asset in the present situation. He said that the currency faces strong selling pressure, which has the potential to trigger a selloff frenzy on Wall Street.</span>

<span style="font-weight: 400">Notably, the recent decline in Bitcoin can be attributed to the fluctuations in the stock and commodity markets. On Monday, major American stock indices fell by up to 2%, whereas European indices fell by 2.5%. Oil, on the other hand, also recorded a drop of 6%.</span>

CryptoQuant Data Indicates Bitcoin Is Not in Bear Market

CryptoQuant has recently stated that Bitcoin is nowhere close to entering a bear market anytime soon despite what several other experts say.

Divya is a postgraduate from Jawaharlal Nehru University specializing in International Relations and a professional writer with more than 5 years of experience writing for the web. She is an avid reader interested in the global financial system and the effects of decentralization. At Cryptoknowmics, she hopes to deliver clear and understandable content to inform readers about the latest events in the crypto sector.

CryptoQuant Data Indicates Bitcoin Is Not in Bear Market

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