Bitcoin surpassed $100,000 for the first time on December 6, marking a major milestone for the leading cryptocurrency. These achievements come as Bitcoin’s resilience and appeal are growing amid the lackluster performance of traditional global assets.
Over the past month, the price of Bitcoin has surged 32%, in stark contrast Crude oil fell 6.3%, the S&P 500 fell 1% and gold fell 1%.
The cryptocurrency’s surprising performance has sparked optimism among analysts, many of whom predict that the current rally could extend into 2025.
This step is often says The “euphoria phase” in the cryptocurrency space is characterized by rising investor confidence and markets. exuberance.
Explore: 15 Best Anonymous Bitcoin Wallets without KYC in 2024
Long-term holder NUPL proposes euphoria phase
WeRate co-founder Quinten François pointed to the Net Unrealized Profit/Loss (NUPL) indicator for long-term holders as evidence that Bitcoin has entered this euphoric phase.
“Bitcoin is entering a euphoria phase. There are up to 12 months left until the peak of the cycle,” he posted on X on December 7.
$BTC I’m entering the euphoria stage
You have up to 12 months before your cycle begins. pic.twitter.com/984OYpbaRH
— Quinten | 048.eth (@QuintenFrancois) December 7, 2024
The NUPL indicator measures the profit and loss status of Bitcoin holders, indicating the overall profitability of the network.
James Coutts, Senior Cryptocurrency Analyst at Real Vision, also commented on the milestone, citing Bitcoin’s strength despite the difficult global liquidity environment.
“Bitcoin hits a new ATH despite worsening liquidity. background. As circumstances worsen, the gatherings, although happy, may last only a limited time. If the situation eases we could see further developments,” Coutts wrote on December 6.
Global Liquidity Trends It seems It’s an important factor in Bitcoin’s trajectory. The global M2 liquidity index, which includes cash and short-term bank deposits, may bottom, suggesting Bitcoin could continue to rise. in the near future Before getting proofreading.
Bitcoin hits a new ATH amid worsening liquidity.
1. If the situation worsens, the rally, although happy, can only last for a limited time.
2. A downtrend makes sense once the situation eases from here, but then it starts again.Remember, I am very… pic.twitter.com/KOclmmsNjQ
— Jamie Coutts CMT (@Jamie1Coutts) December 5, 2024
Meanwhile, Raoul Pal, founder and CEO of Global Macro Investor, expects the local high to exceed $110,000 by January 2025, based on Bitcoin’s correlation with the liquidity index.
Explore: 18 Best New Cryptocurrencies to Invest in in 2024
Corporate interest in Bitcoin increases.
North American Bitcoin mining giant last week Hut 8 announced a $250 million share buyback. The program is carried out in conjunction with a stock sales plan. Proceeds from these programs are expected to be used to fund a variety of initiatives, including the acquisition of Bitcoin as a strategic reserve.
Hut 8 joins a growing list of companies investing in Bitcoin reserves, including Genius Group, Hoth Therapeutics and Jiva Technologies, signaling a broader trend of corporate interest in digital assets.
Other companies are also turning to Bitcoin to diversify their assets. video platform rumble Bitcoin Investment Plan Announced Genius Group recently acquired 110 BTC for $10 million on November 25, aiming to have up to 90% of its holdings in Bitcoin.
Additionally, medical technology company Semler Scientific Expanded Bitcoin Portfolio. An additional 47 BTC was purchased for $3 million. This acquisition brings the company’s total holdings to 1,058 BTC as part of its ongoing strategy to accumulate Bitcoin.
Recently, Japanese investment company Metaplanet also announced It is said that it plans to strengthen its Bitcoin reserves by raising more than $62 million (9.5 billion Japanese yen) through a stock acquisition plan.
Explore: Best new cryptocurrencies to invest in in 2024
Disclaimer: Cryptocurrencies are a high-risk asset class. This article is provided for informational purposes and does not constitute investment advice. You may lose all your capital.
99Bitcoins may receive advertising commissions for visits to referring operators through affiliate links at no additional cost to you. All recommendations are subject to a thorough review process.
Free Bitcoin Crash Course
Learn everything you need to know about Bitcoin in just 7 days. Videos delivered straight to your inbox every day.
We hate spam as much as you do. You can cancel your subscription with one click.