The price of Bitcoin (BTC) has surged in previous months, rising from $10,000 to its recent all-time high of $24,200. An analyst said the next level of interest would be at $25,800, which could be the next marker for a potential peak. Bitcoin Forecast Poll of experts’ expectations on all timeframes turned out to be optimistic, more than half of respondents expect the price of BTC to rise. Participants bet on Bitcoin to grow above $24,000 in a month and quarter.
On-chain data adds confidence to Bitcoin’s optimistic forecasts. Historically, the peak of three different metrics coincided with the previous all-time high of BTC. Trading volume, social volume, and daily active addresses all experienced a simultaneous surge during the 2017 bull run. The news that One River Asset Management has acquired $650 million of BTC and plans to increase the stake to $1 billion over the next months added more bullish credence to BTC’s outlook.
Also, convincing fundamental data and statistics show that the price of Bitcoin has not yet experienced astronomical growth. On-chain data shows that the demand for the lead crypto is outstripping its supply. Blackrock Chief Investment Officer Rick Rieder cites the Bitcoin supply shortage as one of the major selling points.
Overcoming the psychological resistance level of $20,000 was the hypothetical start of a new bull cycle. This narrative creates an opportunity to see new highs that will overshadow previous records.
Although the rally is similar to the 2017 rally when the market frenzy raised BTC to $20,000 before Christmas. Institutional buyers are driving the market this time as the retail crowd that triggered the previous boom was unable to support or reverse the trend. There are currently large institutional players in the market such as MicroStrategy, PayPal, Square, and One River Asset Management, among others.