IMG-LOGO

Confirmed: Bitcoin's price rises every four years

storrmgain - 2024-03-07 10:45:15

stormgain_logo_1.jpg


It took Bitcoin 846 days to set a new high and confirm a key investment thesis: the cryptocurrency's price grows every four years. In other words, when an investor buys Bitcoin, this is the longest they'll have to wait to see a profit.


Just two and a half years have passed since Bitcoin hit its previous peak, and the price has already set a new high above the $69,000 mark. The rule was confirmed ahead of schedule, leaving sceptics at a loss.


bitcoin-grows-every-four-years-1.jpg
Image source: StormGain Cryptocurrency Exchange


This rapid growth was fuelled by the launch of spot ETFs in the US, giving investors easier access to the cryptocurrency. Now, investment companies are actively incorporating the new instrument into their trading platforms, an action that is reflected in the crypto funds' growth in total portfolio and trade volume. For example, among banks, Wells Fargo, Bank of America and Merrill Lynch already offer clients access to Bitcoin spot ETFs, while Morgan Stanley is still considering it.


On 5 March, Bitcoin spot ETFs broke the record for total volume, hitting the $10 billion mark. Among them, BlackRock's IBIT, Fidelity's FBTC, Bitwise's BITB and Ark Invest's ARKB have reached new highs.


bitcoin-grows-every-four-years-2.jpg
Image source: twitter.com/EricBalchunas


Immediately after setting a new high, Bitcoin rushed downwards. The forced liquidation of positions in the futures market reached $1 billion. Short-term holders and speculators aside, miners remain the main selling group. This year, their reserves are down 15,000 BTC to 1.82 million BTC.


bitcoin-grows-every-four-years-3.jpg
Image source: cryptoquant.com


However, news that whales are starting to stir has yet to be confirmed. In contrast, the number of addresses with more than 1,000 BTC is up 3.4% this year to 2,094.


bitcoin-grows-every-four-years-4.jpg
Image source: lookintobitcoin.com


Most market participants expect Bitcoin's price growth to continue to at least break the $100,000 mark in the current four-year cycle.


bitcoin-grows-every-four-years-5.jpg
Image source: twitter.com/therationalroot


The local high limited by the $1 million model is expected in the second half of 2025.


StormGain Analytical Group
(platform for trading, exchanging and storing cryptocurrency)