Bitcoin’s price has surpassed $100,000, reaching an all-time high of $101,449. While some believe this marks the top of the current cycle, historical data and key indicators suggest Bitcoin still has room to grow.
Key Metrics Support Bitcoin’s Bullish Phase
One critical indicator is the Market Value to Realized Value (MVRV) long/short difference. Historically, a positive MVRV suggests long-term holders have more unrealized profits than short-term holders, signaling bullish momentum.
Currently, Bitcoin’s MVRV stands at 27.25%. This is well within bull market territory but still below the March peak of 42.08%. Based on historical trends, this condition indicates Bitcoin could climb higher before the cycle ends.
RHODL Ratio Signals Room for Growth
The Realized HOLD (RHODL) ratio, another key metric, helps identify market tops and bottoms. A high RHODL ratio often signals overheated markets and potential corrections, while a low ratio reflects strong long-term holding sentiment.
Bitcoin’s RHODL ratio is currently above the green “bottom” zone but below the red “top” area. This positioning suggests Bitcoin remains undervalued relative to its cycle peak, with potential to surpass its all-time high of $103,900.
BTC Price Prediction: Could $112,500 Be Next?
On the daily chart, Bitcoin has formed a classic bull flag pattern, which often precedes further upward movement. The flagpole represents strong buying momentum, while the consolidation phase forms a flag shape, indicating a temporary pause.
Bitcoin has broken above the flag’s upper boundary, signaling a potential price target of $112,500. However, if BTC falls below the flag’s lower boundary or if key indicators turn bearish, prices could slide to $89,867 instead.
Final Thoughts
Bitcoin’s current metrics and technical patterns suggest its rally may continue. While risks remain, the potential for new highs makes this an exciting time for traders and investors.
