Bitcoin Surges to $84K: Analysts See Strong Buy Signal

Bitcoin's price has rebounded to $84,000, with analysts suggesting that the recent crash was a strong buy signal. Despite a 21.3% drop between February 21 and February 28, which led to over $1.6 billion in leveraged long liquidations, several Bitcoin analysts see this as a buying opportunity.

Regulatory developments, sovereign fund exposure, onchain and technical signals, and increasing integration with traditional finance are cited as factors contributing to this positive outlook. The Crypto Fear & Greed Index hit its lowest levels since 2022, indicating a potential "bear trap" and suggesting that government entities worldwide may be about to buy Bitcoin.

A report from Tephra Digital outlines key events that could drive higher adoption rates and positively impact Bitcoin's price. These include in-kind creation and redemption for Bitcoin ETF issuers in the US, improving market efficiency, and the legal classification of Bitcoin as a strategic reserve asset, which would allow BTC deposits to be used as collateral, similar to gold.

Historical four-year cycle patterns suggest that Bitcoin is on track to reach $230,000 to $290,000 by December 2025. Onchain analysis indicates that long-term holders were not the main contributors to Bitcoin's drop below $80,000, increasing the likelihood of a swift recovery above $95,000.

Experienced investors remain unaffected by the price fluctuation, while inexperienced traders are folding under pressure. A single US-listed company could acquire 84,090 BTC, potentially becoming the second-largest holder after Strategy (formerly MicroStrategy). Even if GameStop allocated only 20% of its current reserves, that would represent 11,765 BTC at $85,000, securing the fourth-largest position behind MARA Holdings and Riot Platforms.

Different analysis models suggest that buying Bitcoin below $85,000 is a golden opportunity, one that may not be available for long. Bitcoin's censorship resistance and digital scarcity features have not been impacted by the worsening macroeconomic environment. In time, its price is expected to rise above $100,000, reflecting the conviction of its current holders and benefiting from deeper integration into the traditional finance system.