Insane prediction for Bitcoin price as crypto closes on all-time high

Crypto traders are rejoicing as Bitcoin makes a massive surge - but one analyst says it’s not even close to where it could peak next year.

Bitcoin has almost topped its all-time high.

Bitcoin surged past the $86,000 mark again on Tuesday night, as it closes in on its all-time high price of $93,000 set in 2021.

Cryptocurrency advocates are understandably in a frenzy, after doubters all but wrote off the revolutionary asset when it dipped below $25,000 in 2022.

Peter Brandt, an analyst with over four decades of experience tracking market trends, says the party is far from over for crypto nuts, predicting it could peak at US$200,000 (A$305,000) next year.

Brandt had initially estimated Bitcoin to rise past US$120,000 (A$183,000) in 2025 but now believes the hype will continue to build.

“With the thrust above the upper boundary of the 15-month channel, the target for the current bull market cycle scheduled to end in Aug/Sep 2025 is being raised from $120,000 to $200,000,” Brandt said in a tweet.

Others say Bitcoin, often referred to as the “internet’s gold”, could eclipse the real life gold market in years to come.

“Bitcoin will eventually capture around a quarter of the monetary gold market,” Fidelity director of global macro Jurrien Timmer said.

“At 40 per cent, monetary gold is currently worth around $6 trillion, while bitcoin is worth $1 trillion.”

Observing bitcoin’s overall worm since its emergence in 2008 is promising — it has regularly boomed and dipped for years, with the surges consistently reaching higher peaks.

But purists in the finance world have warned investors against dumping their life savings into what is still a very new asset that is about as temperamental as Melbourne’s weather.

Bitcoin has almost topped its all-time high.

Cryptocurrency advocates are understandably in a frenzy, after doubters all but wrote off the revolutionary asset when it dipped below $25,000 in 2022.

Data showed Bitcoin trading volumes were at a fraction of what it was in the years prior to 2022, as the turbulent market took a turn for the worse and saw countless budding investors lose serious cash.

From October-November 2023, its trading volume has only been at around 600,000, compared to a high of 1.61 million from October-November, 2022.

Caroline Bowler, CEO of Australian exchange BTC Markets, said that a large part of this hesitance could be attributed to “significant market events” that have garnered a negative reputation for crypto trading.

Controversy after controversy has seriously affected the cryptocurrency market. The crash of the Terra (LUNA) cryptocurrency, the bankruptcy of crypto exchange FTX, and Binance having to pay over $1 billion in legal fees have all contributed to a hesitancy to reinvest.

“The aftermath of FTX’s collapse has made traders cautious, and U.S. regulators’ scrutiny of centralised crypto platforms adds to the subdued atmosphere,” Ms Bowler said.

Both FTX and Binance were designed as centralised exchanges for the crypto market – a market that prides itself on its freedom and lack of regulation, which some argue led to their recent scandals.

“Macroeconomic uncertainty persists, heightened by political turmoil in the US, potentially dampening broader market participation,” Ms Bowler added.

But for many, especially its early adopters, it’s the philosophy behind cryptocurrency that drives its success.

What happened yesterday?📈

Blackrock BTC ETF: highest inflow ever.

Greyscale BTC Trust: lowest outflow ever.

Bitcoin: +10% 🚀

Probably nothing… pic.twitter.com/HDpkmzawRn

— Julian Liniger (@julian_liniger) February 27, 2024

Bitcoin is up 41% since. Legend pic.twitter.com/RwHkCuuFKw

— Inverse Cramer (Not Jim Cramer) (@CramerTracker) February 27, 2024

On top of making a quick buck, cryptocurrency offers people a viable alternative to banks. With privacy concerns growing in our increasingly-digital world, bitcoin and its lesser known cousins are growing in popularity for the unique service they provide over regular finance.

Some currencies like ethereum have built entire networks of commerce, introducing “smart” contracts tied to their digital transactions, generating new potential ways for consumers and businesses to do business.

As always, it’s a wait and see situation.

On top of making a quick buck, cryptocurrency offers people a viable alternative to banks.