Research Series: When will the Market Bottom-Out?
Updated: Jun 22
Last month, the collapse of Terra’s ecosystem was the talk of the town, with LUNA, the native token of Terra, bitting the dust and algorithmic stablecoin TerraUSD (UST) failing to recover its peg, dragging the whole market down over 20%.
Despite the US Consumer Price Index (CPI) slowdown for the first time in eight months, the unexpected hawkish Fed policy of the Federal Open Market Committee (FOMC) meeting intimidates both the stock and cryptocurrency market. Amid the cool down of the Russia-Ukraine War and macroeconomic uncertainties, Bitcoin (BTC) slid for nearly twelve straight weeks, plummeting under $20,000.
Aspen Digital's Research Series attempts to explore on the potential bottom of the cryptocurrency market by using fundamental on-chain data, chart pattern observations, and statistical analysis. Interestingly, we found that on-chain data shows a mixed reaction toward current market sentiment, whereas Bitcoin’s symmetrical window suggests a market bottom-out in November 2022.
To gain full insights of our findings, download the full report below: