An intelligence firm now sets a realistic Bitcoin target following $100,000, citing its historic performance reaching this milestone.
Market intelligence firm IntoTheBlock has provided a well-reasoned Bitcoin price target, taking into account the cryptocurrency’s historical cyclical behavior following its impressive climb above the $100,000 mark.
The recent surge past $100,000 has sparked excitement within the crypto community.
After an initial unsuccessful attempt, Bitcoin successfully breached this significant milestone on Thursday.
This rally has led market speculators to anticipate even higher prices, with ambitious targets emerging, such as $150,000, $250,000, and even $1 million for the leading digital asset.
In its latest analysis, IntoTheBlock offered insights into what to expect for Bitcoin following this breakthrough.
The firm suggests that a more realistic price ceiling lies between $130,000 and $190,000.
They highlighted Bitcoin’s immense potential, attributing it to its limited supply and increasing institutional adoption, which are expected to support continued price growth.
IntoTheBlock’s commentary also analyzed Bitcoin’s past performance during bull markets, noting that the percentage gains have decreased with each cycle.
For example, Bitcoin saw a staggering 7,900% increase in 2013, followed by 2,560% in 2017, and 594% in 2021.
The firm explained that as Bitcoin’s price rises, the amount of capital required to sustain this upward momentum also increases.
Therefore, predictions of a $1 million price point this cycle, which would imply a market cap of $19.7 trillion, may be overly optimistic.
Given these diminishing returns, IntoTheBlock believes a 100-200% increase post-halving is more plausible.
Consequently, they forecast Bitcoin could rise to between $130,000 and $190,000 in the near future.
Interestingly, IntoTheBlock also noted a potential for Bitcoin to exceed its projected top if a significant event occurs.
They pointed to discussions around establishing a US Bitcoin reserve, which gained traction after Donald Trump’s recent electoral victory.
Trump and Senator Cynthia Lummis hinted at this idea during a Bitcoin conference in Nashville, with Lummis actively promoting the proposal.
While Trump has remained silent on the matter since the election, Lummis continues to advocate for the creation of this strategic reserve, suggesting it could significantly impact Bitcoin’s price trajectory.
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