CryptoQuant Analyst: A healthy pullback will cool down the market from an overheated state, thereby extending the upward trend

ChainCatcher news, CryptoQuant analyst Axel posted on social media that the realized profit and loss chart clearly shows that during the price increase phase, investors experience a significant peak in profit-taking. Before the price enters a deep correction, we are likely to see one or two waves of profit-taking.

Each wave of profit-taking will be accompanied by short-term corrections and consolidations, but as long as the realized profit peak does not exceed the previous extreme or is of a comparable scale, the bull market trend will remain intact. Ideally, these healthy corrections will cool down the market from an overheated state, thereby extending the upward trend.