Seems like Bitcoin It finally took a breather at the key resistance level at $45,000. The big question right now is will Bitcoin take a step back? Or will it make a move towards the sought-after $50,000 mark?
Analysts at CryptoQuant, a major market analysis firm, predict an optimistic trajectory for Bitcoin’s value in early 2024.
Hopes Are High
Experts from CryptoQuant, a reliable market analysis firm, have some good news for Bitcoin enthusiasts. They crunched the numbers and predict a potential rally to somewhere between $50,000 and $53,000 in the first months of 2024. The report examines the positive signs seen through the realized price metric and points to a promising future for market growth.
What’s Next for Bitcoin?
According to CryptoQuant analysts, looking at metrics such as market cap, user activity, trading volume, and Metcalfe price valuation band gives us a positive forecast. The report introduces a tool called the “Bitcoin bull-bear market cycle indicator,” which suggests we are in a full-blown bull market but also warns of a potential “overheated bull phase,” which has historically led to pauses or corrections in price rallies.
However, the report also strikes a cautionary note amid the positive atmosphere. Currently, 86% of the circulating BTC supply is considered profitable. This could indicate a market top or short-term decline. High funding rates also raise concerns about a potential market correction.
Despite the caution, general sentiment in the market is optimistic, driven by excitement around two major events. First, the upcoming BTC halving and second, the possible approval of a spot Bitcoin exchange-traded fund (ETF) by the SEC. If approved, this would be a historic move as the first ETF to directly track Bitcoin.
Will History Repeat?
Analysts at Standard Chartered, a major British bank, added to the excitement. In this context, he presented an even more positive projection. They predict that Bitcoin’s value could skyrocket to an impressive $120,000 by the end of next year. The reason behind this bold prediction is increasing profitability for Bitcoin miners. Since they earn more for each BTC mined, it is possible that a decrease in available supply could potentially push the BTC price higher.
A big question arises when drawing parallels with past events where BTC experienced significant fluctuations. Could Bitcoin achieve similar success? BTC is currently worth $43,697. Crypto The community is eagerly watching to see if it will create another notable chapter in price history.