Will Bitcoin Rise to $200,000? Institutional Push May Be Key

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Institutional funds are pouring in, and Bitcoin's momentum is strong.

Bitfinex's latest report indicates that institutional investors' interest in Bitcoin is on the rise. Coupled with bullish technical indicators, Bitcoin could reach $200,000 by mid-2025. Even if a price correction occurs, it is expected to be relatively minor.

The report notes that with metrics like Market Value to Realized Value (MVRV) and Net Unrealized Profit and Loss (NUPL) remaining strong, there is still room for growth in the Bitcoin market, which has not yet reached a cyclical peak. Historical data shows that Bitcoin typically experiences a strong price rebound after halving events.

Price Predictions and Trends

Minimum price target: $145,000.

Best-case target price: $200,000.

The expected correction magnitude is smaller than in previous cycles: the maximum correction in 2017 was 33.2%, and in 2020 it was 27.1%.

ETF Boosts Institutional Fund Inflows

Spot Bitcoin ETFs have become an important tool for institutional funds entering the market. As of now, the number of Bitcoins held by ETFs has surpassed the holdings in Satoshi Nakamoto's wallet address.

Strategic Reserves May Trigger Global Effects

Market rumors suggest that the U.S. may establish a strategic Bitcoin reserve in response to global economic changes. Blockstream CEO Adam Back believes this could push Bitcoin to seven-figure prices. Analysis from asset management firm Bitwise indicates that if the U.S. initiates this move, other countries may follow suit, potentially triggering a domino effect that further elevates Bitcoin prices.

International Dynamics

Japanese lawmaker Akira Hamada has also proposed the establishment of a national Bitcoin reserve, indicating that this trend is sparking discussions globally.

Current Market Performance

As of the time of writing, the price of Bitcoin is $103,953, down 3.7% in the past 24 hours. Despite potential short-term fluctuations, the long-term bullish trend remains promising.

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