Loading...

Bitcoin bull market confirmed as PlanB signals start

TL;DR

  • Bitcoin’s bull market begins as PlanB signals the end of the accumulation phase, with prices surging past $62,000.
  • Spot Bitcoin ETFs fuel investor interest despite minor corrections, propelling Bitcoin to new highs.
  • Analysts forecast Bitcoin to hit $100,000-$120,000 by Q4 2024, with a cycle peak anticipated in 2025.

In a significant development for the cryptocurrency market, Bitcoin has officially entered a bull market phase, as confirmed by PlanB, a pseudonymous quantitative analyst renowned for his stock-to-flow (S2F) model. 

With Bitcoin trading firmly above the $62,000 mark, PlanB’s signal marks the end of the accumulation phase and the commencement of what is anticipated to be a period of intense price volatility and FOMO (fear of missing out) among investors.

PlanB’s prognosis and market outlook

According to PlanB, historical patterns suggest that the current bull market phase could endure for approximately 10 months, characterized by extreme price pumps interspersed with significant drops of up to 30%. 

This declaration comes on the heels of Bitcoin’s recent surge past $60,000, a milestone not reached in over two years. Despite a minor 0.75% dip, Bitcoin trades robustly at $62,472, underpinning bullish sentiments within the cryptocurrency community.

While the S2F model has garnered popularity, particularly during the 2021 bull run, it has faced criticism for its imperfect predictions. Ethereum co-founder Vitalik Buterin, among others, has cautioned against relying too heavily on the model, citing a “false sense of certainty” it may impart to investors. 

However, PlanB’s projections align with broader analyst expectations, with senior analyst Vetle Lunde noting historical trends that indicate a rally following the post-halving consolidation period.

Impact of spot Bitcoin ETFs on market dynamics

In addition to PlanB’s signal, the recent approval of spot Bitcoin exchange-traded funds (ETFs) has bolstered investor interest and contributed to Bitcoin’s price appreciation. 

Despite a 3% correction following significant BTC outflows from Grayscale Bitcoin Trust ETF, Bitcoin’s price has surged over 22% in the past week, according to CoinMarketCap data. 

The emergence of new spot Bitcoin ETFs has introduced passive, price-agnostic demand into the market, setting the stage for further price escalation.

Predictions and forecasts

Analysts anticipate that the newfound demand generated by ETFs will propel Bitcoin to new all-time highs by the end of 2024. 

A research report by Bitfinex Analysts forecasts a conservative price objective of $100,000-$120,000 to be achieved by the fourth quarter of 2024, with the cycle peak expected sometime in 2025 regarding total crypto market capitalization. 

This projection underscores the optimism surrounding Bitcoin’s future trajectory fueled by the convergence of various market factors.

Disclaimer. The information provided is not trading advice. Cryptopolitan.com holds no liability for any investments made based on the information provided on this page. We strongly recommend independent research and/or consultation with a qualified professional before making any investment decision.

Share link:

James Kinoti

A crypto enthusiast, James finds pleasure in sharing knowledge on fintech, cryptocurrency as well as blockchain and frontier technologies. The latest innovations in the crypto industry, crypto gaming, AI, blockchain technology, and other technologies are his preoccupation. His mission: be on track with transformative applications in various industries.

Most read

Loading Most Read articles...

Stay on top of crypto news, get daily updates in your inbox

Related News

Wright
Cryptopolitan
Subscribe to CryptoPolitan