Considering Bitcoin’s performance during the halving period, BTC prices rose strongly in the fourth quarter, with gains of 60-170%.
Bitcoin prices have risen more than 8.5% in the past week, making a strong comeback to $64,000. Clearly, crypto bulls are gearing up, with expectations that BTC prices will surge 171% in the fourth quarter.
Will Bitcoin Reach $172,800 in Q4?
Following the Federal Reserve’s 50 basis point rate cut this month, all eyes are on how BTC performs in the fourth quarter of 2024. BTC has been trading in a tight re-accumulation range between $50,000 and $70,000 following the halving event. However, the Fed’s latest liquidity stimulus could lead to a sharp rebound in the fourth quarter.
Ali Martinez, a well-known cryptocurrency analyst, pointed out BTC’s performance during the last halving events in 2016 and 2020. In the fourth quarter of 2016, BTC prices surged 61%, and in the fourth quarter of 2020, it surged more than 171%. Therefore, if Bitcoin replicates this performance again, its price could soar to between $100,000 and $172,000 by the end of this year.
Bitcoin on-chain metrics have improved in recent weeks, and large players such as MicroStrategy continue to buy into Bitcoin’s dips. Two days ago, MicroStrategy purchased $450 million worth of Bitcoin, showing great confidence in its future performance.
Key factors affecting Bitcoin price
The latest report from 10X Research states that market structure has been improving with a surge in stablecoin minting and rising futures leverage. Citing previous halving cycles, the report states that the likelihood of a BTC price breakout has increased as we enter the fourth quarter. However, for this to happen, Bitcoin must break through $65,000. At press time, BTC price is up 0.96% to $63,549 with a market cap of $1.255 trillion.
On the other hand, bankrupt cryptocurrency exchange FTX is preparing to distribute $16 billion to creditors. Many market analysts believe that this liquidity will return to Bitcoin and cryptocurrencies, causing some chaos in the cryptocurrency space.
As BTC rises, market analysts believe that the altcoin season is only a few weeks away. Ethereum has shown strong momentum, with the ETH price rising 16% in the past week. However, with the increase in Ethereum whale deposits, analysts are still confused about where ETH will go next.
On the other hand, Bitcoin ETFs are gaining momentum again. Last week, BTC ETFs saw $397 million in inflows, led by Fidelity ETF FBTC.
