Originally published on: October 20, 2024
Bitcoin’s price has been on the rise, increasing by 55% in 2024, with a notable 12.50% gain in October alone. The positive momentum is fueled by an improving risk-on sentiment driven by better-than-expected Wall Street earnings and the anticipation of potential Federal Reserve rate cuts in November.
Investors are also optimistic about the pro-crypto stance of Donald Trump, increasing the odds of his victory in the 2024 presidential election. These factors, coupled with strong technical and on-chain indicators, suggest that Bitcoin is well-positioned to enter a new bull cycle that could extend beyond 2024.
One key indicator of Bitcoin’s potential bull run is its two-month logarithmic chart, which highlights historical bullish phases marked by significant price increases. Analysts predict that Bitcoin is set to break out of its consolidation phase, signaling the start of a parabolic phase with the potential for rapid price acceleration.
Analysts like Ted Pillows and Coosh Alemzadeh are optimistic about Bitcoin’s price trajectory, with projections of it surpassing $100,000 in 2025 and $250,000 in the long term. On-chain data tracking whale activity on spot exchanges also supports the bullish sentiment, with a similar accumulation pattern observed before previous bull runs.
Additionally, the decline in stablecoin dominance suggests that investors are shifting their capital towards Bitcoin and other top-ranking cryptocurrencies, indicating a growing risk appetite in the market. This trend could further fuel Bitcoin’s price appreciation as more liquidity flows into the asset.
It is important to note that this article does not provide investment advice and readers should conduct their own research before making any decisions. Stay informed with critical insights on investment opportunities by subscribing to the Markets Outlook newsletter for weekly updates.