Bitcoin saw explosive growth immediately after the recent U.S. presidential elections, rising and retaking the spotlight from former highs of $73,000 in March. Now the question is, will bitcoin (BTC) continue its uptrend, and at what point can a sharp reversal happen?

If we take a look at former BTC market cycles, which happen every four years, then we see that we are now just starting to go into new bitcoin price discovery areas, and BTC could top out at new all-time highs, which is practically anything greater than the current resistance of $92,000. Bitcoin could even potentially see highs of $140,000+ based on prior supply and demand — i.e. halving cycles. On the contrary, what makes this market cycle a bit different than others is the vanished principle of BTC being an inflation hedge or digital gold. In theory, it was supposed to be — that is, at least, likely what Satoshi intended since bitcoin was created after the 2008 financial crisis. From what we saw in the last cryptocurrency bear market cycle, BTC is not an actual inflation hedge and performs like all other risk-on assets, so sentiment could change once the inauguration happens in January.

As we’ve seen before, politics could potentially just be politics until we see actual regulatory rollouts and a more favorable U.S. stance on paper with policies and laws that the markets fu

Go to Source to See Full Article
Author: Semir Gabeljic