Bitcoin (BTC) has dropped to $95,000 after approaching the $100,000 level, but according to investment management firm ARK Invest, the pullback is just a temporary pause before a major surge in BTC value occurs.
ARK Invest research associate David Puell took an optimistic view in an interview, saying: “We expect Bitcoin to be between $104,000 and $124,000 by the end of the year. While this is not investment advice, it can be said that price action so far is in line with this forecast.”
Puell’s predictions are based on seasonal analysis and on-chain data that examines Bitcoin’s behavior in past bull markets. He believes that Bitcoin’s cyclical nature will continue unless there is a strong indication to the contrary. This means that BTC could reach new highs, but eventually face a major correction like the one seen in 2022.
Puell described the current market conditions as “mid-bullish,” saying, “If we measure price action from the beginning, we’re about 55% to 65% of the way there.” Based on this data, he predicted that Bitcoin’s peak could be between $126,000 and $134,000, but those targets could go even higher if market action picks up.
Puell’s analysis aligns with theories that Bitcoin will deliver lower returns over time. A peak of $134,000 would only double the 2021 all-time high of $69,000, compared to the three-fold increase seen in 2017 and 2021. While ARK Invest has considered the possibility, Puell noted that the data does not provide a definitive conclusion on whether this trend will continue.