The leading cryptocurrency, Bitcoin (BTC), broke early records at the beginning of this year, driven by the approval of spot Bitcoin ETFs, with the price reaching $73,500 in March ahead of the halving.
After the new ATH, BTC entered a downtrend and dropped to below $50,000 during the sharp correction in August.
BTC subsequently recovered, spending most of September fluctuating between $57,000 and $60,000, and did not fall below $60,000 after the FED’s interest rate cut.
While BTC is currently around $10,000 below its previous ATH level, expectations for a new record have also increased due to the recent bullish momentum.
However, even if Bitcoin reaches its long-term target of $100,000, it may lag behind previous cycles in terms of real value and fall short of expectations.
Analyst Luke Broyles made an interesting prediction regarding the Bitcoin price in an X post, saying that once inflation is taken into account, the new ATH of around $100,000 may not be as impressive a feat as imagined.
Comparing the current situation with Bitcoin’s $69,000 ATH in 2021 and the inflation data at that time, Broyles claimed that when the ATH level in 2021 is adjusted for inflation, the new ATH level in 2024 corresponds to $83,000.
Stating that Bitcoin’s peak of $69,000 in 2021 is equal to $83,000 under current conditions when adjusted for inflation, the analyst said, “Even if Bitcoin reaches $100,000 by 2025, its inflation will increase in the next 6-18 months due to monetary expansion, and BTC reaching $100,000 in 2025 will not really take it to $100,000, it will only be able to take it to 2021 prices.”
“It’s pretty crazy considering the difference between nominal and real.
“100 thousand dollars in 2025 means 69 thousand dollars in 2021…”
#Bitcoin pumping up to $65,000.
Adjusted for inflation the 2021 ATH is $83,000.
By the time we have the next round of printing in the next 6-18 months it will be $95,000.
$100,000 nominal #BTC price in 2025 is (quite possibly) barely getting us to 2021 levels.
NGU = 👀
— Luke Broyles (@luke_broyles) September 23, 2024
*This is not investment advice.
Follow our Telegram and Twitter account now for exclusive news, analytics and on-chain data!
Source: https://en.bitcoinsistemi.com/is-bitcoins-rise-real-analyst-makes-reference-to-2021-announces-new-ath-prediction/