Bitcoin has achieved a significant milestone, surpassing $80,000 to establish a new all-time high. This surge comes amid increased trading volumes and growing interest from both retail and institutional investors. However, the question remains: Will Bitcoin continue to rise, or will there be a correction in the future?
The Bitcoin Fear and Greed Index has reached 78, indicating "Extreme Greed" among market participants. The CEO of CryptoQuant notes that 100% of all Bitcoin addresses are currently in profit, suggesting some investors may capitalize on this high by taking profits early.
Bitcoin reaches a new all-time high
The price of Bitcoin reaching $80,000 is a significant moment, signaling a new chapter in its price journey. Both retail and institutional investors are driving large trading volumes, pushing the rise of Bitcoin. However, as BTC enters a price discovery phase, analysts hold contrasting views on whether the rally will continue or if a correction may be imminent.
The recent rise of the Bitcoin Fear and Greed Index to 78 reflects growing enthusiasm and optimism in the short term, which could push prices even higher. However, such levels of greed often precede corrections, as investors may look to lock in profits at historical highs. Ki Young Ju, CEO of CryptoQuant, emphasizes that with all Bitcoin addresses currently in profit, some holders may take advantage of this peak to secure profits.
Analyst's view on the trajectory of BTC
"Bitcoin has entered a new price discovery phase," Ju explains, noting that previous peaks are often followed by corrections as larger investors take profits at high levels. As Bitcoin approaches $80,000, Ju and other experts anticipate a potential "4th wave correction" before any further bullish movement.
MicroStrategy's Bitcoin holdings exceed $20 billion
Meanwhile, MicroStrategy's Bitcoin holdings are now worth over $20 billion following BTC's recent rally, generating over $10 billion in unrealized profits. Under the leadership of Bitcoin advocate Michael Saylor, the company has accumulated a total of 252,220 BTC since its initial purchase in 2020. With an average purchase price of $39,200 per Bitcoin, these investments total approximately $9.9 billion, marking a significant position in the cryptocurrency market.
As the cryptocurrency world watches closely, Bitcoin's historic rise to $80,000 reflects increased mainstream adoption and reinforces its role in modern finance. Bit Journal will continue to monitor whether this unprecedented rally can be sustained or if a correction may be on the horizon.
