This year, Bitcoin has seen one of the biggest price pumps in its history. Currently ranked as the seventh most valuable global asset, Bitcoin also rivals the market capitalizations of the world’s largest corporations.
With BTC price currently traded at almost $100,000, most analysts anticipate the price to exceed this level.
Looking ahead, these dynamics suggest that Bitcoin could see substantial growth in 2025, driven by a mix of macroeconomic conditions, institutional participation and seasonal market behavior.
Bitcoin price prediction for January 2025
Peter Brandt, a well-known trader and market analyst, has highlighted two consistent features of past Bitcoin bull market cycles:
Dominant Parabolic Trends
Each bull market has been marked by a parabolic price increase. However, the strength of these parabolic movements has declined with each cycle.
After breaking out of its parabolic rise, Bitcoin has historically experienced a sharp correction, typically around 80% (±5%) from its peak.
Brandt has shared the current parabolic profile for Bitcoin, noting that while the pattern is clear, the exact trajectory may evolve as the market progresses.
If the chart proves to be right, the Bitcoin rally might continue in January. However, the chart also suggests a substantial correction in 2025.
Could there be Bitcoin bubble?
Bitcoin’s price has been conditionally “overheated” in the past when it exceeded its 200-day moving average by 100% or more. This wasn’t the case in March, so there was no “bubble burst.” Instead, the market experienced a typical correction for this volatile asset, followed by a trend resumption.
Currently, the gap between the price and the 200-day moving average is even smaller than it was in March — 40% compared to 70%. This suggests that there’s little reason to label the current market a “bubble.”
The Bitcoin Seasonality chart currently indicates that BTC is nearing a local peak, coinciding with the $100,000 level. This development is further underscored by a sharp 16% one-day drop in MicroStrategy (MSTR) shares, a reliable leading indicator during Bitcoin’s recent rally.
While this alignment does not ensure a correction, the combination of these factors suggests an increased probability of a temporary pause in Bitcoin’s upward momentum. If a correction occurs, it is expected to be a precursor to continued growth, which may extend well into 2025.
Bitcoin mining and hash rate
Bitcoin hashrate refers to the overall computational power that miners contribute to the Bitcoin network. It represents the total number of calculations (hashes) that the network can perform every second to validate and secure transactions.
A hash is an alphanumeric code generated randomly, and hashing involves attempting to guess that code or something very close to it.
The hash rate represents the number of guesses per second made by…
Read More: Bitcoin Price Prediction 2025
