In the realm of cryptocurrency, CryptoQuant CEO Ki Young Ju believes that the US Bitcoin (BTC) market holds significant influence over the future of crypto prices in the near term. Addressing his 347,300 followers on the social media platform X, Young Ju asserts that the US Bitcoin market is more crucial than global offshore markets for the upcoming price surge.

Young Ju explains that stablecoins are commonly viewed as global offshore buy-side liquidity, with their market cap expanding. However, their ratio to BTC and ETH market caps is diminishing, along with free-floating market caps and exchange reserves. He emphasizes that stablecoins alone are not sufficient to propel the next market rally.

Highlighting that Coinbase dominates 46% of global BTC-USD spot markets with a growing impact, possibly due to institutional brokerage services, Young Ju points out that the South Korean won (KRW) is the second largest fiat for trading volume, primarily for altcoins. He notes that 82% of Upbit’s volume came from altcoins in the previous month, and the BTC-USD trading volume on Coinbase surpassed BTC-KRW on Upbit by five times.

At the time of writing, BTC is trading at $68,312, experiencing a 4% decline in the past week. Young Ju previously mentioned that Bitcoin is not currently overvalued based on network fundamentals, citing BTC’s “thermo cap ratio” as evidence. The thermo cap indicates the total investment cost in the Bitcoin network, calculated as the weighted sum of mined coins by the creation price. The thermo cap ratio is derived by dividing Bitcoin’s market capitalization by the thermo cap, according to the CryptoQuant CEO.

Disclaimer: The opinions expressed by Young Ju and The Daily Hodl do not constitute investment advice. It is recommended that investors conduct thorough research before engaging in high-risk investments involving Bitcoin, cryptocurrency, or digital assets. All transfers and trades are undertaken at the individual’s own risk, and any resulting losses are their responsibility. The Daily Hodl does not endorse the buying or selling of cryptocurrencies or digital assets and is not an investment advisor. Please be aware that The Daily Hodl engages in affiliate marketing activities.