Two important Bitcoin metrics indicate a stable bull cycle with no signs of a bubble forming, according to a recent report by Cointelegraph. The metrics, known as the Puell Multiple and the Stablecoin Supply Ratio, suggest that the current rise in Bitcoin’s price is sustainable and not indicative of a speculative bubble.
The Puell Multiple, which measures the value of new coins being mined relative to the historical average, is currently at a level that historically precedes bull markets. This indicates that the current increase in Bitcoin’s price is likely to continue in the near future.
Similarly, the Stablecoin Supply Ratio, which compares the market capitalization of stablecoins to Bitcoin’s market capitalization, is also signaling a healthy market. A low ratio suggests that there is a large amount of dry powder on the sidelines ready to flow into Bitcoin, supporting its price.
Overall, these metrics provide reassurance to investors that the current bull cycle in Bitcoin is sustainable and not driven by speculative excess. This bodes well for the future of the cryptocurrency market and suggests that there is no bubble in sight.