2022’s cryptocurrency bear market is showing key fundamental differences in comparison to 2017.

In 2018, after Bitcoin hit its near $20k peak, small retail investors took 45% of the new supply equivalent as exchange reserves continues to go up all the way until 2020.

But today these small investors have taken over 75% of the new supply equivalent, with the largest implied capital injection ever. Meanwhile, exchange reserves on spot markets have reverted below its trend line. And larger investors are also coming back on the table reversing their sell off trend which started well before Bitcoin’s peak.

In this report, Copper finds more to be bullish about than bearish. The difference is really investor timeframes and their pain thresholds should the price of the cryptocurrency face further pressures from wider economic outcomes. And stablecoin correlations to price are showing that a big move is likely to happen in the near term.

DISCLAIMER

THE INFORMATION CONTAINED WITHIN THIS PRESENTATION IS FOR PROFESSIONAL INVESTORS, REGULATED FINANCIAL ADVISERS AND THEIR INVESTORS ONLY. ALL INVESTMENT IS SUBJECT TO RISK. THE VALUE OF DIGITAL ASSETS MAY GO DOWN.