According to Ki Young Ju, CEO of CryptoQuant, the Current Bitcoin Market the momentum suggests a bullish phase that could extend until April 2025.
Ju's analysis comes amid BTC's current uptrend, which appears to be a continuation of that seen in March, when BTC reached a new all-time high, surpassing $73,000 for the first time.
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Bitcoin Market Cap Growth Indicates Prolonged Uptrend, Says CryptoQuant CEO
Notably, Ki Young Ju's prediction stems from an analysis of Bitcoin's market capitalization growth, which has exceeded its realized capitalization – a measure of the market's overall cost base.
This trend is a classic indicator of a strong bull cycle and has been a reliable harbinger of sustained bullish momentum in the past. market cycles.
Ju's analysis highlights that the rapid growth in market capitalization relative to realized capitalization suggests increased investor confidence and market dynamics.
This trend has historically signaled prolonged bullish phases. If current trends persist, this cycle is expected to continue, leading to significant gains in Bitcoin's value over the next year and a half.
#Bitcoin is in the middle of the bull cycle.
Its market capitalization is growing faster than its realized capitalization, a trend that typically lasts for about two years.
If this trend continues, the bull cycle could end by April 2025. pic.twitter.com/o4k8B1Rkhv
– Ki Young Ju (@ki_young_ju) May 17, 2024
Bitcoin has shown a positive trend, increasing by 1.9% over the past 24 hours and over 12% over the past two weeks. At the time of writing, it is trading around $67,201.
Institutional Adoption and Market Sentiments Support Bullish Outlook
The optimistic outlook for BTC is not based solely on historical trends and market cap analysis. Recent developments in institutional adoption further support this trend. positive trajectory.
Anthony Scaramucci, founder and managing partner of SkyBridge Capital and a prominent Bitcoin advocate, recently discussed on CNBC's Squawk Box, how US pension funds are starting to invest in BTC.
“When you do your homework on Bitcoin, you're heading towards Bitcoin…sometimes when you're early you have some bumps and scratches, but I think it's worth being early in Bitcoin and we're still early in Bitcoin,” says Anthony of SkyBridge Capital. Scaramucci. pic.twitter.com/HTfbwH5VJG
– Squawk Box (@SquawkCNBC) May 16, 2024
This approach by institutional investors, such as the State of Wisconsin Investment Board invests around $100 million in BTCsignals broader acceptance and integration of BTC into traditional financial portfolios.
Scaramucci emphasized that institutions BTC Adoption is unfolding quickly and he predicts more pension funds will pursue Bitcoin investments. He highlighted that the regulatory approvals have opened the door for large-scale institutional participation in BTC.
This approval will make Bitcoin a must in these areas. long-term institutions asset allocation strategies. According to Scaramucci, understanding Bitcoin and the history of money is essential to recognizing its potential.
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He noted: Being early in Bitcoin is profitable, and “we’re still early…sometimes when you’re early you get bumps and scrapes.”
Featured image created with DALL·E, chart by TradingView