This Analyst is Extremely Bullish on Bitcoin-Here’s Why He Believes BTC’s Price is Stronger Now!

The post This Analyst is Extremely Bullish on Bitcoin-Here’s Why He Believes BTC’s Price is Stronger Now! appeared first on Coinpedia Fintech News

The crypto markets are trading at par currently, with no major recovery triggered or any significant bearish actions. The Bitcoin price underwent a notable upswing but continues to consolidate along one of the major resistance levels, close to $27,800. However, one of the popular analysts, Lark Davis, shared 6 major reasons that determine the strength of the Bitcoin price and the possibility of it surging high in the coming days.

Internet vs Crypto Adoption

The internet and the crypto adoption graph appear to have been going hand-in-hand. If the levels maintain a similar trend, as many as 700 million users may enter the crypto space between now and 2025, which is assumed to be the peak of the next bull run. This may be a huge bullish signal for BTC, as the majority of them will surely buy Bitcoin, increasing the volatility and volume and impacting the price positively.

Bitcoin Halving vs BTC Price

The Bitcoin blockchain is due for its fourth halving, which is anticipated to occur less than a year from now, in April or May 2024. Hence, based on the 4-year cycle theory, BTC is currently in the pre-halving accumulation period. If history repeats itself, then the BTC price may kick-start a gigantic rally that could see prices as high as $150,000 in early 2025.

Bitcoin Wholecoiners Mark New Highs

Ever since the BTC price began its sluggish trend, small traders have been constantly accumulating the token. This is the reason that the wholesalers or the addresses with one whole bitcoin have marked new highs. Over 1 million addresses now hold 1 BTC or more, which has grown from 150K.

Dormant BTC Holding Continues to Thrive

Dormant addresses are those that have not made a move for quite a while, which determines the ‘holding’ mindset of the bulls and the traders. Therefore, the supply of Bitcoin, which has not moved in the past year, has reached an all-time high of 68.3%. Nearly 7 in 10 BTC tokens are held by these long-term holders, who have remained unaffected by the recent market turmoil.

Bitcoin Exchange Balance Drying Up

The above chart displays the balance of the exchanges after each halving event in 2016 and 2020, while the green line indicates the current levels. After the 2016 and 2020 halvings, the supply on the exchanges continued to soar. However, the current levels are constantly dropping, indicating that market participants are extremely bullish on BTC in the long run.

Apart from this, Lark Davis also shared a chart from Raoul Pal that displays the global liquidity levels which are soaring. Interestingly, Bitcoin is also going up with it! Therefore, despite the prevailing bearish influence, the BTC price continues to flash bullish signals, and hence analyst believes Bitcoin is becoming stronger every day.

Crypto Pulpit