Glassnode Co-founder: The BTC network maintains a strong rise, and the return of Liquidity may trigger a strong Rebound in the market

ChainCatcher message, Glassnode co-founder Negentropic posted an article on social media interpreting the Swissblock BTC Fundamental Index (BFI), stating, “Currently, BTCLiquidity continues to decrease, but network rise remains stable. The period from December 2020 to February 2021 is similar to the current cycle phase and PA.” During that period, the outflow of Liquidity was accompanied by price adjustments, but the network rise continued. Similarly, when the price stabilized and new Liquidity began to flow in, the price rebounded strongly. This indicates that once Liquidity flows back into the market, we may see a price increase, and as long as the network rise is maintained at a bullish level, the price will not fall to lower levels.