CryptoQuant predicts that the BTC price will reach $53,000 next month. Is Now the Right Time to Buy Bitcoin?
Bitcoin is taking a moment to catch its breath as the main resistance level remains at the $45,000 level. With the options market hinting at a push toward the $50,000 handle, will Bitcoin suffer a significant downturn? Analysts at renowned market analysis firm CryptoQuant predict an optimistic trajectory for Bitcoin’s value in early 2024.
According to their predictions, Bitcoin could rise to a range between $50,000 and $53,000 in the coming months. This report observes positive trends in Bitcoin (BTC) through realized price indicators, indicating potential market growth.
Analysts call for a Bitcoin bull market cycle.
According to CryptoQuant analysts, these indicators, along with the Metcalfe price assessment bands, indicate a potential price range for Bitcoin in the coming months between $50,000 and $53,000. This optimistic outlook is rooted in our evaluation of various indicators such as market capitalization, user activity, trading volume, and Metcalfe price valuation bands.
The report also mentions a tool called the “Bitcoin Bull-Bear Market Cycle Indicator.” It means a full-blown bull market, but it soon reaches an “overheated bull phase.” This historically means that price increases may be paused or corrected.
Short-term adjustment check before bull run
However, CryptoQuant’s report expresses optimism about Bitcoin’s price trajectory while also warning investors about a potential near-term correction. The report highlights that 86% of Bitcoin supply in circulation is currently in a profitable state, which could potentially lead to market highs or temporary declines. High funding rates also contribute to concerns about short-term market corrections.
However, market sentiment is positive for Bitcoin. This is primarily due to expectations surrounding future events such as the Bitcoin halving and anticipation of the U.S. Securities and Exchange Commission (SEC) approving a Bitcoin spot exchange-traded fund (ETF). If approved, this would be the first time the fund tracks Bitcoin directly.
Can Bitcoin hit $120,000 in 2024?
Similarly, Standard Chartered, one of the UK’s major banks, offered a much more optimistic outlook. Analysts at the bank suggest that Bitcoin’s value could soar to $120,000 by the coming year-end.
They attribute this potential surge to increased profitability for Bitcoin miners. As miners earn more for each Bitcoin they mine, they can sell fewer Bitcoins, which can reduce the available Bitcoin supply and push the price higher as a result.
Overall, this is a bullish signal that reflects increased confidence in the BTC price if the ETF is approved. In the past, BTC has surged 12,736%, 4,474%, and 819%. The current value of Bitcoin is $43,697. Can we make it again?