New data from Pantera Capital, an investment firm and hedge fund, indicates that Bitcoin's current price action (BTC) closely follows the path of the stock model to follow and believes Company analysts say Bitcoin will reach $ 115,212 by Aug. 1.
According to the Coin Telegraph, the equivalent rise in Bitcoin may have put the price slightly ahead of the model's forecast, and the 28% correction this week led to a temporary rebound throughout The market, but sharp corrections and short periods of consolidation are the hallmark of bull markets.
The model focuses on the price effect of Bitcoin halving events that reduce the amount of Bitcoin minted in each block in half every 4 years.
and, according to the model, the effect of decreased supply of Bitcoin would be present approximately 6 months after each halving. When Bitcoin's price halved on May 11, 2020, the price was around $ 8,000 and after 6 months Bitcoin was trading above $ 15,000 and about to enter an equivalent rally to an all-new high.
The above chart shows Bitcoin's price progress in the days following each halving. A similar pattern was developed during the last two halves, only with the difference in time period.
Bitcoin's current performance appears to be between the market cycles of 2012, which will likely lead to Bitcoin's price between $ 300,000 and $ 400,000 in about 450 days. After the last half, or about August 4.
Signs of a mature market
Another important difference between this rally and 2017 relates to the overall market configuration and where the value is determined. The majority of the current market value is standardized in Bitcoin and Ethereum (ETH) as institutional investors have chosen by far the most established strings of exposure to the cryptocurrency sector.
Andy Yi, Director of Public Policy for Visa Greater China, noted this development in a Twitter response to the Pantera report: This rally is different. There is a massive shift from highly speculative, non-performing tokens in 2017 to Bitcoin and Ethereum today, according to Panetera Capital.
Bitcoin and Ethereum own about 86% of the value. The other 5,000 chains had 14%, while Bitcoin was peaking in late 2017, the two largest total currencies had 52% of value, indicating that Bitcoin and Ethereum have strengthened their market share over the past three years.
