🔸️Historical Overview and Current Performance Bitcoin (BTC) continues its strong performance in November 2024, recording increases of more than 20% since the beginning of the month. Historically, November has been one of the best months for Bitcoin, with an average monthly return of 44%. Market analysis suggests that Bitcoin could reach new record highs above $100,000 before the end of the year, which is supported by data from Cointelegraph and CoinGlass that indicate strong gains since the third quarter of the year.
▶️MicroStrategy’s New Investment
🔸️In a recent tweet, Michael Saylor, founder and CEO of MicroStrategy, announced that the company has acquired 55,500 Bitcoins worth a total of $5.4 billion, at an average price of approximately $97,862 per Bitcoin. MicroStrategy currently holds a total of 386,700 Bitcoins, making it one of the largest institutional investors in the market. This large investment reflects the growing confidence in Bitcoin as a strategic digital reserve asset.
As Michael Saylor, a prominent Bitcoin supporter, put it:
“Bitcoin is not just a financial asset, it is the digital solution for preserving wealth in an era of volatility.”
▶️Impact of Macroeconomic Factors
🔸️The optimistic outlook also comes in the context of strong economic support, with global monetary policies playing a major role. Bitcoin is expected to benefit from potential cuts in US interest rates and easing of monetary policies in emerging markets such as China. These factors may prompt investors to seek assets such as Bitcoin as a safe haven, increasing demand for it.
▶️Market Risks and Warnings
🔸️Despite the optimism, there are concerns about the increased use of leverage in trading, which exposes the market to extreme volatility. According to CryptoQuant, the current leverage ratio is high, increasing the likelihood of a major correction before reaching the $100,000 target. Experts such as Kris Marszalek, CEO of Crypto.com, have advised investors to carefully manage their risks during this critical period.
▶️Ki Young Ju’s view on the bull market
🔸️In another tweet, Ki Young Ju, CEO of CryptoQuant, noted that even in a bull market, Bitcoin can see corrections of up to -30%. These corrections are not necessarily an indication of a market crash, but rather part of the dynamic nature of the market. He added, “Risk management is key to avoiding emotional decisions and selling at local bottoms.” The chart attached to the tweet shows multiple corrections during the price discovery in the 2021 cycle.
▶️Future Trends
🔸️As Bitcoin continues to see strong growth, the outlook remains generally positive. As expert Ryan Lee of Bitget Research points out, “If the post-halving cycle continues to follow historical patterns, Bitcoin could be on its way to reaching new all-time highs.” However, investors should carefully monitor economic developments and potential risks.