Zach Bradford, CEO of Bitcoin (BTC) mining firm CleanSpark, predicted that the leading cryptocurrency could peak near $200,000 this cycle.
Bradford’s Bullish Opinion on BTC Price
In a interview with research and brokerage firm Bernstein, the CleanSpark CEO noted that, historically, post-halving periods led to several positive adjustments in the price of BTC.
It should be remembered that Bitcoin underwent its fourth halving in April 2024 when its block confirmation rewards were reduced from 6,250 BTC to 3,125 BTC.
In a note to clients shared today, Bradford commented:
Based on my current analysis, I believe we could see Bitcoin peak just below $200,000 sometime in the next 18 months. It will probably be a spike. But I think we’ll see a quick bounce and hopefully an extended period before we revisit a bear cycle.
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Bradford emphasized that he sees Bitcoin’s “extended period of stability” as a positive sign. This indicates that a sustained rally to the upside may last longer than usual. However, he warns that this depends on macroeconomic events and other relevant factors.
Adding to his comments, Bradford said he expects a considerable increase in the price of BTC after the elections until January 2025. Subsequently, this could help Bitcoin miners with efficient cost structures expand their profit margins.
Interestingly, CleanSpark’s CEO does not consider who wins the US presidential election in November 2024 to be important. Instead, reduced electoral uncertainty after the election will help investors place more trust in risky assets like Bitcoin.
Bradford opined that the US Federal Reserve (Fed) was slow to cut interest rates after raising them over the past two years. He concluded that to correct its delayed action, the Fed could cut rates more aggressively over the next 15 to 16 months, leading to further appreciation in the price of BTC.
Bitcoin price seeks more upside, but challenges remain
After hitting a low of nearly $53,900 on September 6, Bitcoin has recovered nearly 10% due to several positive developments such as the Fed cutting interest rates by 50 basis points (bps) and increasing daily inflows. liquids for ETFs.
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Crypto analysts believe there is room for further increases in the price of Bitcoin. For example, analysts at 10x Research predict that BTC could reach $70,000 in the next two weeks, followed by a new all-time high (ATH) price.
However, there are reasons to temper this optimism. For example, Bitcoin’s recent recovery was accompanied by a rapid increase in open contracts, indicating the possibility of high price volatility in the short term.
Similarly, another analyst highlighted the greater increase in derivatives trading compared to spot trading as a cause for concern regarding a healthy upward price trajectory for Bitcoin. Bitcoin trades at $63,710 at press time, down 3.2% in the last 24 hours.
Featured image from Unsplash, Chart Tradingview.com
