Key Points
- Bitcoin might reach a new all-time high with a potential value of $180,000 to $200,000 during this bull cycle.
- Despite price volatility, Bitcoin investors are showing bullish sentiment, with 99.75% of Bitcoin addresses now in profit.
Bitcoin’s value is expected to surge, possibly reclaiming its all-time high with a 4% surge. Many experts anticipate that the cryptocurrency will triple its current price during this bullish phase.
Bitcoin’s Potential Growth
Gracy Chen, the managing director of Bitget, suggests that Bitcoin could potentially reach between $180,000 to $200,000 in the current cycle. This optimism is fueled by the growing interest in the leading cryptocurrency by institutional stakeholders. At the time of reporting, Bitcoin was trading above $67,200, an increase of over 6% in the past 24 hours.
Recent investor data shows a trend of holders being less sensitive to price volatility. There is a general perception that halving events are bullish for Bitcoin. Therefore, if Bitcoin ETFs continue to see strong net inflows, the chances of reaching a new all-time high are high.
Investor Interest and Upcoming Supply Shock
Nine Bitcoin ETF issuers have attracted over $7 billion in inflows, despite Grayscale investors withdrawing nearly $9 billion from the firm’s converted GBTC exchange-traded fund. The new Bitcoin fund providers have over $20 billion in assets under management and have accumulated at least 750,000 BTC since trading started on U.S. exchanges on January 11.
Analysts and experts suggest an upcoming supply shock, particularly with the Bitcoin halving expected next month. This event will reduce the reward for mining new blocks by 50%, limiting the rate at which new tokens enter circulation. Opinion leaders believe that the increasing demand from Bitcoin ETFs, coupled with the halving and incoming institutional money, should trigger a significant Bitcoin run.
Bitcoin Addresses in Profit
The rise in Bitcoin’s price has resulted in gains for most holders. The data shows that 99.75% of Bitcoin addresses are now in profit. This means that losses incurred by investors who bought at the top of the previous bull run have almost been fully reconciled. Currently, fewer than 1% of holders of around 7,680 addresses are out of the money. However, these holders could see profits on their positions if Bitcoin pushes above $67,413 for the first time since late 2021.
