Bitcoin hasn’t peaked yet and is still in the middle of a bull market, says CryptoQuant CEO – here’s why
The CEO of analytics platform CryptoQuant believes that despite Bitcoin's (BTC) recent decline after hitting new all-time highs this month, the bull market is far from over.
Ki Young Ju shares to his 339,800 followers on the social media platform
He also warns that the correction could still be as low as $51,000 due to historical corrections in previous bull market cycles.
“Bitcoin is still in the middle of a bull cycle.
1. The Bitcoin market is showing short-term overheating.
2. Not the cyclical peak yet; Private investors have not yet fully entered the market, and [Bitcoin exchange-traded fund] ETF demand needs to be monitored.
3. Correction made; $51,000 with a maximum drawdown of 30%, new whales (= ETF buyers) entered on average at $56,000.”
Ju believes that Bitcoin's recent massive rise is due to the launch of the ETFs and significant inflows into the funds, rather than the expected April halving, where miners' rewards will be halved. He says the impact of the halving event will be felt after it takes place.
“The Bitcoin market is driven by spot ETFs, not the halving event. After the halving, mining costs will double, forcing miners to maintain certain prices for mining profitability. The direct cost per coin will rise to about $37,000, but at $63,000 that is no longer a problem for them.”
Bitcoin is trading at $63,685 at the time of writing, down slightly in the last 24 hours.
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