Bitcoin, the world’s most popular cryptocurrency, is poised for a surge as analysts predict a new all-time high in the near future. The price of Bitcoin has been performing well this week, reaching $66,000, its highest level since July 31. This surge in price comes as Bitcoin moves into a bull market, coinciding with the rise of other risky assets like altcoins and equities.
Analysts like Miles Deutscher are optimistic about Bitcoin’s future, with Deutscher estimating that the cryptocurrency could reach a high of $81,000 in the near term. He pointed to the performance of the S&P 500 index, which has been up by 9% above its highest level this year, suggesting that if Bitcoin catches up with equities as it has done in the past, it could reach $81,000.
Other analysts, including those at BlackRock, the world’s largest asset manager, have also expressed bullish sentiments towards Bitcoin. BlackRock referred to Bitcoin as a “unique diversifier” in a recent report, highlighting its uncorrelated nature with equities, especially during times of heightened risks. The firm has continued to allocate Bitcoin in its balance sheet, a move that may inspire other companies to follow suit.
MicroStrategy, another firm that has been accumulating Bitcoin, holds over 252,000 coins and its founder, Michael Saylor, predicts that Bitcoin will rise to over $13 million by 2045. Additionally, Michael van de Poppe, founder of MC Consultunacy and a self-proclaimed Bitcoin enthusiast, believes that Bitcoin could jump to between $90,000 and $100,000 by the end of the year, citing increasing global liquidity as central banks slash interest rates.
Seasonality also seems to be favoring Bitcoin, with data showing that the average return in the fourth quarter is significantly higher than in previous quarters. October and November are historically strong months for the cryptocurrency. Polymarket traders are betting that Bitcoin will reach a new all-time high in 2024, with 63% odds.
From a technical perspective, Bitcoin’s daily chart shows solid indicators, including an inverse head and shoulders pattern and a falling broadening wedge, both bullish signs. The cryptocurrency has also moved above the 50-day and 200-day moving averages, avoiding a death cross pattern. To continue its bullish trend and accelerate recovery, Bitcoin will need to move above the upper side of the wedge and clear the year-to-date high of $73,777.
Overall, analysts and market indicators are pointing towards a positive outlook for Bitcoin, with expectations of a new all-time high in the near future. As global liquidity increases and interest in cryptocurrencies grows, Bitcoin’s price surge seems imminent.