John Deaton, known for his pro-Ripple stance, has shifted his attention toward Bitcoin, identifying a potential bullish indicator for the leading cryptocurrency.
Deaton’s analysis suggests that approximately 80% of all Bitcoins remain dormant, indicating a reluctance among holders to sell their holdings. Deaton, known for his active engagement in the XRP community, recently expressed his interest in Bitcoin’s price movement. Speculating on the future trajectory, Deaton tweeted that BTC could potentially surge to $50,000 or even $75,000. He emphasized the significance of the large percentage of unmoved Bitcoins and how it may impact the market dynamics at these price levels.
In recent weeks, investors have demonstrated hesitancy to sell, leading to an increase in the number of inactive BTCs. Notably, renowned crypto analyst Will Clemente shared an intriguing comment by Stanley Druckenmiller, revealing that a staggering 86% of Bitcoin holders who bought at $17,000 did not sell when prices plummeted to nearly $3,000. Moreover, Clemente highlighted the continuous rise in the supply of dormant BTCs, despite the recent recovery, creating new records for the amount of untouched supply that hasn’t moved in at least a year.
Bitcoin Soars As BlackRock Leads Surge In Spot ETF Applications
Coinciding with this trend, the past week witnessed a flurry of spot Bitcoin ETF applications, spearheaded by BlackRock, the world’s largest asset manager. This influx of interest has propelled BTC from $25,000 to over $31,000, marking new yearly highs and sparking excitement among market participants.
On-chain analytics firm Glassnode has shed light on a stable equilibrium that was achieved around the $26,000 mark prior to the recent price rally. In their weekly analysis, Glassnode suggests that this development may indicate a shift in investor psychology from a bearish outlook in 2022 to perceiving breakeven levels as an opportunity to accumulate positions rather than seeking immediate liquidity.
Currently, BTC is experiencing minor losses but remains above the crucial $30,000 level. At the time of reporting, it is trading slightly higher in the last 24 hours, with a value of $30,226.
Deaton’s Optimism Continues To Soar, Forecasts $300,000 Bitcoin
Deaton’s newfound optimism extends beyond the current price movement. In a previous report, the founder of CryptoLaw posed a thought-provoking question to his Twitter followers, inquiring whether they believed Bitcoin’s market valuation could someday reach half that of gold. Deaton postulated that if this scenario were to unfold, Bitcoin’s price could potentially skyrocket to $300,000, representing a nearly tenfold increase from its present value.
As Bitcoin’s price journey continues to captivate both enthusiasts and skeptics alike, the cryptocurrency market remains abuzz with speculation regarding its future trajectory and the implications it may have for the broader financial landscape.