Halfway through Bitcoin euphoria, are retail investors here yet?

Retail interest in the cryptocurrency market appears to be increasing following bitcoin's rise to $70,000 or more.

According to a Tuesday tweet threadKi Young Ju, founder and CEO of on-chain intelligence platform CryptoQuant, believes the cryptocurrency market is probably halfway to a bitcoin euphoria because half of the retail audience has already arrived.

Halfway to bitcoin Euphoria

Euphoria refers to a period of the bull cycle in which market participants embrace greed and bitcoin's rally overheats. During this time, retail speculative activity and enthusiasm for the cryptocurrency market peaks, indicating the active participation of this group of investors.

The rise in retail interest is often evident in “bitcoin” search trends on Google and an increase in crypto app downloads, as there is no specific indicator to monitor retail market share. Analysts believe that new retail investors joining the cryptocurrency market as it heats up will add to the momentum of the rally and take it to new highs.

Ju concluded that the market may be halfway to euphoria by looking at several metricsincluding the btc unrealized profit rate for retail cohorts, the total supply of btc that has been idle for a year, and the number of withdrawal transactions on the ethereum network.

The CryptoQuant founder admitted that on-chain retail activities, as shown by metrics, do not indicate a cyclical top and that btc is still in its price discovery phase.

How many retail investors are there?

Ju's analysis was criticized by some market participants. Some believe that the btc unrealized profit rate graph for retail cohorts is not an accurate measure of the percentage of the retail crowd that has arrived. While they agreed with Ju's claims that the market is halfway to euphoria, they insisted that 10% to 20% of retail participants are here.

“I can't argue with that. It's hard to know how many retail investors joined using this data. This is more like measuring the intensity of the retail cycle through chain retail activities,” Ju explained.

Meanwhile, Google searches and crypto app downloads show that the retail sector is barely weighing in. bitcoin” data-wpel-link=”external” target=”_blank”>he sits at 53, halfway to the peak of 100 reached on May 21, while the latter has slightly recovered from levels CryptoPotato reported in December 2023. Coinbase has moved to 13th place among consumer finance applications in the Apple App Store rankings.

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