TechFlow news, December 30 — Negentropic, co-founder of Glassnode, posted on social media interpreting Swissblock's Bitcoin Fundamental Index (BFI), stating, "Currently, Bitcoin liquidity continues to decline, yet network growth remains stable. The period from December 2020 to February 2021 is similar to the current phase in terms of cycle stage and price movement.
During that period, outflows of liquidity were accompanied by price corrections, but network growth continued. Similarly, when prices stabilized and new liquidity began flowing back in, prices rebounded strongly. This suggests that once liquidity returns to the market, we may see price increases, and as long as network growth remains at bullish levels, prices will not fall to lower levels."
