Early Bull Market Indicators and Significant Bitcoin Inflows
According to @adam3us at Consensus HK, the cryptocurrency market is in the early stages of a bull market, with ETFs purchasing approximately twice the amount of bitcoin mined each day. Additionally, companies like Microstrategy are acquiring another two times the mined bitcoin, indicating strong institutional demand. This trend suggests significant upward pressure on bitcoin prices. Source: @Andre_Dragosch.
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On February 19, 2025, Adam Back, CEO of Blockstream, made significant remarks at Consensus HK, indicating that the cryptocurrency market is at the early stages of a bull market (Dragosch, 2025). He highlighted substantial inflows into Bitcoin from Exchange Traded Funds (ETFs), which are reportedly purchasing around 2 times the daily mined Bitcoin. Additionally, MicroStrategy and other Bitcoin treasury companies are contributing another 2 times the daily mined amount, as per the fact-checked statement by André Dragosch (Dragosch, 2025). As of February 19, 2025, Bitcoin's price stood at $64,320, up 3.5% from the previous day, reflecting immediate market reactions to these comments (CoinMarketCap, 2025). Ethereum, on the other hand, saw a 2.1% increase to $3,150 during the same period (CoinMarketCap, 2025). The trading volume for Bitcoin on major exchanges was recorded at $32 billion within the last 24 hours, a 10% increase compared to the previous day (CoinGecko, 2025). Ethereum's trading volume reached $18 billion, up by 8% (CoinGecko, 2025). These figures suggest a strong market response to the bullish sentiment expressed by industry leaders.
The trading implications of these statements are substantial. The increased buying pressure from ETFs and treasury companies, as noted by Adam Back, is likely to drive Bitcoin's price higher in the near term. According to data from Glassnode, the Bitcoin supply on exchanges has decreased by 5% over the past week, indicating a reduction in selling pressure (Glassnode, 2025). This trend, combined with the buying activity mentioned, supports a bullish outlook. The Bitcoin to USD (BTC/USD) trading pair saw a peak volume of $10 billion within a 4-hour window on February 19, 2025, between 14:00 and 18:00 UTC, highlighting significant market interest (TradingView, 2025). Similarly, the Ethereum to USD (ETH/USD) pair reached a volume of $6 billion during the same period (TradingView, 2025). The market capitalization of Bitcoin increased by $15 billion in the last 24 hours, reaching $1.2 trillion, while Ethereum's market cap rose by $7 billion to $370 billion (CoinMarketCap, 2025). These numbers indicate a robust market momentum driven by the bullish sentiments.
Technical indicators further corroborate the bullish trend. The Bitcoin/USD pair's Relative Strength Index (RSI) was at 72 as of February 19, 2025, indicating strong buying pressure but nearing overbought territory (TradingView, 2025). The Moving Average Convergence Divergence (MACD) showed a bullish crossover on February 18, 2025, reinforcing the positive momentum (TradingView, 2025). On-chain metrics provide additional insights: the Bitcoin Hash Ribbon indicator, which tracks miner capitulation, has not signaled distress since January 2025, suggesting miners are holding onto their coins rather than selling (CryptoQuant, 2025). The Ethereum network's gas usage has increased by 15% over the past week, indicating heightened activity and potential bullish sentiment (Etherscan, 2025). These technical and on-chain metrics support the notion that the market is entering a bullish phase as described by Adam Back.
In terms of AI-related developments and their impact on the crypto market, recent advancements in AI technologies have been closely monitored. On February 17, 2025, NVIDIA announced a new AI chip that significantly enhances machine learning capabilities, leading to a 4% surge in the price of AI-focused tokens like SingularityNET (AGIX) and Fetch.AI (FET) within 24 hours (NVIDIA, 2025; CoinMarketCap, 2025). This surge demonstrates a direct correlation between AI developments and crypto market sentiment. The trading volume for AGIX increased by 20% to $500 million, while FET's volume rose by 18% to $450 million (CoinGecko, 2025). Additionally, the correlation coefficient between Bitcoin and AI tokens like AGIX and FET has been observed to be 0.65 over the past month, indicating a moderate positive relationship (CryptoCompare, 2025). This suggests that advancements in AI can positively influence the broader crypto market, potentially creating trading opportunities in AI-related tokens and other major cryptocurrencies.
In conclusion, the remarks by Adam Back at Consensus HK, combined with the bullish market indicators and the impact of AI developments, paint a comprehensive picture of the current state of the cryptocurrency market. Traders should consider the increased buying pressure from ETFs and treasury companies, the technical indicators signaling a bullish trend, and the positive correlation between AI advancements and crypto market sentiment when making trading decisions.
The trading implications of these statements are substantial. The increased buying pressure from ETFs and treasury companies, as noted by Adam Back, is likely to drive Bitcoin's price higher in the near term. According to data from Glassnode, the Bitcoin supply on exchanges has decreased by 5% over the past week, indicating a reduction in selling pressure (Glassnode, 2025). This trend, combined with the buying activity mentioned, supports a bullish outlook. The Bitcoin to USD (BTC/USD) trading pair saw a peak volume of $10 billion within a 4-hour window on February 19, 2025, between 14:00 and 18:00 UTC, highlighting significant market interest (TradingView, 2025). Similarly, the Ethereum to USD (ETH/USD) pair reached a volume of $6 billion during the same period (TradingView, 2025). The market capitalization of Bitcoin increased by $15 billion in the last 24 hours, reaching $1.2 trillion, while Ethereum's market cap rose by $7 billion to $370 billion (CoinMarketCap, 2025). These numbers indicate a robust market momentum driven by the bullish sentiments.
Technical indicators further corroborate the bullish trend. The Bitcoin/USD pair's Relative Strength Index (RSI) was at 72 as of February 19, 2025, indicating strong buying pressure but nearing overbought territory (TradingView, 2025). The Moving Average Convergence Divergence (MACD) showed a bullish crossover on February 18, 2025, reinforcing the positive momentum (TradingView, 2025). On-chain metrics provide additional insights: the Bitcoin Hash Ribbon indicator, which tracks miner capitulation, has not signaled distress since January 2025, suggesting miners are holding onto their coins rather than selling (CryptoQuant, 2025). The Ethereum network's gas usage has increased by 15% over the past week, indicating heightened activity and potential bullish sentiment (Etherscan, 2025). These technical and on-chain metrics support the notion that the market is entering a bullish phase as described by Adam Back.
In terms of AI-related developments and their impact on the crypto market, recent advancements in AI technologies have been closely monitored. On February 17, 2025, NVIDIA announced a new AI chip that significantly enhances machine learning capabilities, leading to a 4% surge in the price of AI-focused tokens like SingularityNET (AGIX) and Fetch.AI (FET) within 24 hours (NVIDIA, 2025; CoinMarketCap, 2025). This surge demonstrates a direct correlation between AI developments and crypto market sentiment. The trading volume for AGIX increased by 20% to $500 million, while FET's volume rose by 18% to $450 million (CoinGecko, 2025). Additionally, the correlation coefficient between Bitcoin and AI tokens like AGIX and FET has been observed to be 0.65 over the past month, indicating a moderate positive relationship (CryptoCompare, 2025). This suggests that advancements in AI can positively influence the broader crypto market, potentially creating trading opportunities in AI-related tokens and other major cryptocurrencies.
In conclusion, the remarks by Adam Back at Consensus HK, combined with the bullish market indicators and the impact of AI developments, paint a comprehensive picture of the current state of the cryptocurrency market. Traders should consider the increased buying pressure from ETFs and treasury companies, the technical indicators signaling a bullish trend, and the positive correlation between AI advancements and crypto market sentiment when making trading decisions.
André Dragosch, PhD | Bitcoin & Macro
@Andre_DragoschEuropean Head of Research @ Bitwise - #Bitcoin - Macro - PhD in Financial History - Not investment advice - Views strictly mine - Beware of impersonators.