Bitcoin (BTC) in ‘Supercycle’: Economist Alex Kruger

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As a seasoned crypto investor with a decade of experience under my belt, I can confidently say that we are indeed witnessing something extraordinary in the world of Bitcoin. The recent surge and break above $100,000 is not just another bull run; it’s a testament to the revolution happening within the cryptocurrency sector.

There are many different opinions being shared about whether the current market situation could be considered a supercycle, given Bitcoin’s recent significant increase. Economist Alex Kruger believes that this particular cycle is extraordinary because of a major shift in how the cryptocurrency industry is perceived and integrated on a global scale.

The fact that Bitcoin’s continuous upward trend and surpassing $100,000 reinforces this belief. This significant move suggests a clear breakaway from its previous falling trend, as evident in the provided Bitcoin chart. Over the last few months, Bitcoin has been on an uptrend and is now hovering between $98,000 and $100,000.

This consolidation creates short-term resistance at the six-figure mark by hinting at market participants taking profits. Bitcoin is still backed by solid fundamentals, though, and there is a lot of buying activity at lower levels, especially between $93,000 and $84,000. Higher highs and few retracements are indicative of a longer bullish phase, which is implied by a supercycle.

As a researcher, I’ve observed that unlike traditional cycles, a ‘supercycle’ is fueled not just by market hype but also by substantial changes such as institutional adoption, regulatory clarity, and technological advancements. It seems that Bitcoin is benefiting from these factors, positioning itself for future expansion. Furthermore, the chart reveals a significant surge in trading volume during recent price surges, suggesting strong market engagement.

Over the recent days, there’s been a slight decrease in progress, which suggests that investors might be waiting for additional triggers before making moves. Breaking through the next substantial resistance level at $105,000 could potentially open up possibilities within the $120,000–$140,000 range in the coming months. Based on current market trends and economic circumstances, Kruger predicts a potential peak around March.

While a bear market isn’t guaranteed at this point, given Bitcoin’s expanding use cases and adoption, it might instead display a bullish trend. Provided that market conditions remain favorable, Bitcoin could potentially keep rising, aligning with the supercycle theory due to its current path and market circumstances.

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2024-12-09 13:21