99% of Bitcoin Supply Now in Profit Amid Market Surge
Bitcoin has reached a new all-time high of $124,457, with 99% of its circulating supply currently in profit. The Fear and Greed Index reflects heightened buyer demand, prompting speculation about the rally's sustainability.
Key Developments
- 99% of Bitcoin supply is in profit, dipping only to 95% during July's pullback.
- The surge followed US inflation data showing a CPI increase of 2.7% year-over-year, supporting risk assets.
- Daily trading volumes have risen over 30%, with current prices around $121,881.
- Analysts are monitoring the pivotal $126,000 level for potential further gains.
- Forecasts suggest Bitcoin could peak around $142,690 in October.
Market Dynamics
Net inflows and outflows from exchanges indicate reduced sell pressure, historically aligning with Bitcoin's final rally phases. Long-term holders are not selling, suggesting a potential price explosion may be forthcoming.
Future Projections
- Analyst Jason Pizzino suggests a potential rise to $340,000, marking a significant market cap of $6.7 trillion.
- This would represent a higher percentage return than seen in previous cycles.
- Industry figures like Cathie Wood and Michael Saylor advocate for even higher valuations.
Bitcoin's performance continues to attract attention as it approaches critical price levels and market dynamics shift.