Bitcoin set to rally back to $100,000, BTIG says
Bitcoin bears, beware: The world’s oldest cryptocurrency is likely to stage a rally back to $100,000 after its massive pullback earlier this month, according to BTIG. “After a -36% peak-to-trough decline, we think Bitcoin is now poised to continue its reflex rally at least back towards 100k,” BTIG analyst Jonathan Krinsky said Wednesday in a note to clients. The digital asset was last trading at $92, 451.30, up nearly 10% over the past five days, Coin Metrics data shows. However, bitcoin is still down 20% over the past month, due to a combination of macroeconomic and crypto-specific factors. BTC.CM= 6M mountain Bitcoin over the last six months For one, some investors are pulling out of risk-on investments into risk-off assets such as gold amid ongoing concerns about the valuation of artificial intelligence stocks, which are linked to the crypto trade because they share a similar investor base. Traders are also cautiously digesting mixed economic data from a spate of recently released federal reports. Separately, long-term bitcoin holders are selling off some of their holdings due to a commonly shared conviction that bitcoin’s price follows a four-year pattern based on its blockchain’s regularly scheduled programmatic updates that are designed to make its token progressively scarcer over time. Despite that, bitcoin is still on track to regain some of its losses through the end of the year, while digital currency mining firms Cipher Mining and Terawulf are also “showing impressive during the crypto pullback,” BTIG analysts said in their note. Cipher Mining is up 35% since Monday, while Terawulf is trading 31% higher during the same period, despite their recent pullbacks. In addition, the Barclays’ Crypto mining index has “held support and likely has another 15% upside before tougher resistance,” the analysts noted. The second-largest crypto by market capitalization, ether, also seems poised to reclaim its $3,400 price point after shedding 24% of its value over the past month, according to BTIG. Ether was last trading at $3,075.62, up almost 13% over the past five days, per Coin Metrics data. Solana and XRP rose 12% and 15% during the same period.
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