Decoding Bitcoin's Trajectory: On-Chain Metrics Hint at $150K Price Explosion

Author : Dency Emily | Published On : 16 Feb 2024

Bitcoin (BTC) is poised for a potential ascent to $150,000, according to a thorough analysis by onchain_edge, shared by CryptoQuant.com. Drawing insights from over 100 hours of meticulous on-chain data examination, the analysis unveils two distinct paths that could lead BTC to this ambitious milestone.

Key indicators, such as Net Unrealized Profits and Losses (NUPL) and the Puell Multiple, paint a complex yet optimistic picture. NUPL hovers near a critical 0.54 level, reminiscent of the 2019 peak, indicating a substantial portion of the market in profit. The Puell Multiple stands at 1.83, suggesting more room for growth compared to the 2019 barrier of 2.05.

BTC's open interest, mirroring early 2021 levels, signifies a healthy and growing interest. However, the gradual rise in open interest, without a 2021-like explosive peak, hints at potential further escalation.

Scenario A mirrors the 2019 cycle, predicting a dip to the realized price line ($23k) within six months, followed by a recovery. On the contrary, Scenario B envisions a 3% drop in supply and loss, paving the way for a substantial bull run and a potential surge to $150k.

Notably, Scenario B gains traction as the more probable outcome, aligning with the absence of new money influx and an open interest blow-off top. The analysis advises against hasty sell-offs, advocating patience due to the market's unforeseen twists.

Leveraging is discouraged in light of the market's unpredictability. As of the latest update, Bitcoin is trading at $51,884.41, experiencing a slight 0.22% dip over the last 24 hours.

This in-depth on-chain analysis by onchain_edge, as shared by CryptoQuant.com, provides a compelling glimpse into Bitcoin's potential future. The nuanced interpretation of data underlines the dynamic and unpredictable nature of the crypto market.