The cryptocurrency market has been closely following the recent recovery of Bitcoin (BTC) from a bearish January. CoinMarketCap data shows that BTC’s price has increased by 11.02% in the last week, reaching the $47,000 zone. Amidst this recovery, crypto analyst Adam Back believes that Bitcoin has the potential to reach the $100,000 price mark before the highly anticipated halving event in April.
In a recent post, Adam Back shared his Bitcoin price forecast based on historical price data. He drew parallels between the current price movement and the previous ATH (all-time high) achieved by BTC. Back highlighted that BTC crossed the $47,000 mark on October 1, 2021, which was followed by a 41-day journey to reach its ATH of $69,045.
Back’s forecast stands out due to the timing of the predicted bull run. Historically, Bitcoin’s bull runs usually occur months after the halving event. However, Back believes that the recent launch of Bitcoin spot ETFs (Exchange-Traded Funds) could trigger a bull run before the halving event this time.
The Bitcoin spot ETF market initially faced challenges during its launch. However, it has now found its rhythm, with consistent positive net inflows recorded throughout the past week. On Friday, the market experienced a total net inflow of $541.5 million, following a previous high of $655.3 million during its first trading session on January 11. Additionally, Grayscale’s GBTC has witnessed a decline in outflows, reaching a new low of $51.8 million.
Adam Back suggests that if the Bitcoin spot ETF market continues to develop consistently in the coming weeks, it could potentially trigger a pre-halving bull run, propelling the asset towards the $100,000 price mark. However, the analyst also envisions a repeat of the bull run months after the halving event, creating a dual bull cycle for Bitcoin.
At the time of writing, Bitcoin’s price sits at $47,716 with a 0.88% gain in the last day. However, the daily trading volume has experienced a significant decrease of 59.68% and currently stands at $15.92 billion. Despite this, BTC maintains its dominance over the crypto market with the largest asset market cap of $936.17 billion.
While the possibility of Bitcoin hitting the $100,000 price mark ahead of the halving event is purely speculative, Adam Back’s forecast provides an intriguing perspective. By comparing the current price movement with historical data and factoring in the growth of the Bitcoin spot ETF market, Back suggests the likelihood of a pre-halving bull run.
However, it’s important to remember that investing in cryptocurrencies carries risks, and any decision should be based on thorough research and analysis. As always, investors are advised to exercise caution and make informed decisions when entering the volatile world of digital assets.
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