The Bitcoin (BTC) price is currently just 14% below its all-time high, but favorable conditions have created a target of $80,000+ in the coming weeks.
However, when you factor in inflation, a new all-time high (ATH) of around $100,000 might not be as impressive as you might think.
Bitcoin Price Adjustment Due to Inflation (2021 vs 2024)
Bitcoin analyst Luke Broyles claims that even if BTC breaks the incredible $100,000 mark, it will “barely” match the value of buying BTC in 2021. In his X post, Broyles emphasizes that, taking inflation into account, the 2021 ATH price would currently be $83,000.
Data from the US inflation calculator suggests this is fairly accurate. Assuming people bought BTC at the peak in 2021, the item they bought for around $69,000 would now be priced at $80,159.88, and the current cumulative inflation rate is 16.2%.
Bitcoin Cost Comparison 2021 vs 2024. Source: US Inflation Calculator
The US inflation calculator measures the purchasing power of the dollar over a period of time. With that in mind, Broyles adds:
“By the time the next printing round happens in the next 6-18 months, we’ll be at $95,000. A nominal BTC price of $100,000 in 2025 would (probably) barely be able to pull it back to the 2021 levels.”
Bitcoin Aims for $65,000 for Higher All-Time High
The BTC price has risen 18% over the past 14 days, despite September being a historically bearish month. Now, Bitcoin is facing its final test before it turns bullish.
Bitcoin 1-day chart. Source: TradingView
As you can see in the chart above, Bitcoin has been making lower highs and lower lows on the 1-day chart since March 2024.
Currently Bitcoin looks set to flip the resistance/supply zone at $65,000, which would lead to a character change or ChoCH.
relevant: Bitcoin Weekly RSI Triggers ‘Mid’ $85K BTC Price Target
If $65,000 can be flipped as support, the long-term downtrend will change and a new uptrend will be formed with higher highs and higher lows. The immediate resistance above $65,000 is near $71,500.
Last month, Cointelegraph reported on a potential breakout that could occur in September, which could eventually lead to a rally towards $86,000.
So far, the price action has followed suit, with the “megaphone” pattern still in play for a 34.37% upside in the coming weeks.
Bitcoin Megaphone Pattern. Source: X.com
The megaphone pattern includes a similar setup of higher highs and lower lows, which can validate a macro peak or macro bottom. The price is currently rising, which means Bitcoin has confirmed a low and is on a potential path to higher prices.
This article does not contain any investment advice or recommendations. All investment and trading moves involve risk, and readers should conduct their own research when making decisions.