CryptoQuant founder and CEO Ki Young Ju has highlighted a striking similarity between current Bitcoin market activity and the activity seen in mid-2020. 

In an X post on May 31, Ki’s findings revealed comparatively high on-chain activity and a sharp spike in Bitcoin (BTC) accumulation — echoing 2020’s accumulation phase, which led to BTC surging to $64,000 by April 2021.

“Same vibe on #Bitcoin as mid-2020. Back then $BTC hovered around $10k for 6 months with high on-chain activity, later revealed as OTC deals. Now, despite low price volatility, on-chain activity remains high, with $1B added daily to new whale wallets, likely custody.”

Cointelegraph contacted Ki for a comment but did not receive a response before the publication deadline.

Bitcoin whales: High activity, low volatility

Despite low levels of price volatility, Ki’s “BTC: Realized Cap for New Whales” comparative chart shows significant movement into BTC. Although the pattern indicates potential BTC accumulation by whales and increased market interest, community responses to Ki’s findings varied. 

One X user wondered if Bitcoin is “still a few months away from a breakout?” while others expressed skepticism, noting that the price is not “going up” despite the accumulation and ETF inflows.

Related: ‘No signs’ of Bitcoin miner capitulation despite plummeting revenue

Bitcoin’s accumulation phase in 2020

In 2020, BTC’s price stabilized around the $10,000 level for several months. During this time, there was an increase in on-chain activity, which was later attributed to over-the-counter (OTC) deals, as Ki mentioned.

This accumulation phase and high activity eventually resulted in BTC’s price reaching around $29,000 by the end of 2020.

When compared, Ki’s 2024 vs. 2020 chart indicates that ongoing market dynamics strongly echo the previous lead-up to a bull run, presenting a similar historical parallel — and high expectations.

Implications for the market ahead

According to crypto analysts, BTC price is fighting its “last resistance” of $69,000 before setting new all-time highs (ATHs) — a peak reached during the 2021 bull run. 

Despite community speculation — sparked by the ongoing daily $1 billion BTC accumulation — pseudonymous crypto analyst CryptoCon recently described the current low volatility around previous ATHs as “healthy price action.” 

Magazine: Crypto voters are already disrupting the 2024 election — and it’s set to continue