As a seasoned researcher and crypto analyst with a decade of experience in this dynamic market, I find Ash Crypto’s analysis compelling. Having witnessed numerous bull and bear cycles myself, I can attest to the fact that past trends often provide valuable insights into future price movements. The consolidation period following each halving event, as noted by Ash, is an intriguing pattern that warrants close attention.
According to crypto analyst Ash Crypto, there are several factors suggesting that the price of Bitcoin could reach $100,000 by the end of this year. Notably, other market experts such as Standard Chartered have also predicted that Bitcoin could attain this level or even exceed it before the year’s end.
Why The Bitcoin Price Can Reach $100,000 By Year-End
As a crypto investor, I’ve been closely following Ash Crypto’s insights and his latest post has caught my attention. He suggests that whether Bitcoin will hit $100,000 by the end of this year is linked to past halving cycles. Specifically, he points out that after each halving, Bitcoin tends to go through a consolidation period lasting approximately six months. In 2016, for instance, we experienced a 161-day consolidation phase before the price started escalating. Interestingly, in 2020, this consolidation period extended to about 175 days. So, it seems we might be in for a wait, but the potential rewards could be substantial if history repeats itself.
Following this, Ash Crypto pointed out that Bitcoin has been holding steady for approximately 161 days since its halving event in April of this year. This analyst suggests that there’s a strong likelihood of a price surge in the upcoming two to three weeks for Bitcoin. He further discussed various factors that might trigger this price increase.
Initially, it was mentioned that Ash Crypto reported that China plans to release approximately $280 billion to stimulate its economy. This is equivalent to an economic aid package announced by the People’s Bank of China aimed at reviving the country’s economy. Historically, China’s loose monetary policies have been supportive for Bitcoin, often resulting in price increases for the leading digital currency.
Additionally, it was pointed out that the U.S. Federal Reserve has initiated a series of interest rate decreases. Specifically, at their September meeting, the Fed reduced rates by 0.5%. There is also speculation that another 0.5% reduction may occur before the end of the year. This trend could potentially boost Bitcoin’s value as increased liquidity might flow into the digital currency, giving U.S. investors more funds to invest in it.
A key point mentioned by the analyst is that the Bank of Japan (BOJ) seems to have become more accommodating in its monetary policy, no longer considering increasing interest rates. This shift in strategy led to a significant drop in Bitcoin’s price below $50,000 on August 5, as this was the first time in 17 years that the BOJ raised interest rates.
In other words, the Bank of Japan’s choice to keep interest rates unchanged benefits Bitcoin, as increasing them might reawaken the specter of the yen carry trade. This could lead Japanese investors to sell off their investments in risky assets such as Bitcoin.
Other Factors That Could Spark The Rise To $100,000
Ash Crypto mentioned additional aspects, besides his own analysis, that could drive Bitcoin’s price to $100,000. Notably, there’s speculation that Donald Trump may win the upcoming U.S. presidential election in November. Such a victory is generally viewed as positive for Bitcoin and the overall crypto market since Trump has openly expressed his support for cryptocurrencies.
The analyst mentioned the resurgence of Spot Bitcoin ETFs, suggesting they’re buying again. Additionally, the amount of Bitcoin moving to exchanges has hit a record low, implying that investors are opting for long-term holding, leading to reduced selling pressure. Furthermore, it’s anticipated that FTX users will receive their paybacks in this quarter, potentially injecting more liquidity into Bitcoin.
To conclude, starting in November, Russia intends to employ digital currencies such as Bitcoin for international transactions. Meanwhile, the worldwide money stock has hit record levels. Consequently, the value of Bitcoin is presently on an upward trend.
It’s worth noting that Ash Crypto suggested that the current bullish factors in the cryptocurrency market have not yet been fully accounted for. According to him, it’s expected that Bitcoin could surpass its previous record high once this occurs.
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2024-10-07 11:10