Bitcoin's Price Surge Expected to Reach $109,300 Amidst 40% Yearly Gain

Bitcoin's price has recently experienced a slight stall just below $105,000, but its robust technical and fundamental indicators suggest an imminent surge to its all-time high of $109,300 and potentially beyond, possibly as early as next week. As of Saturday, Bitcoin was trading at $103,630, marking a nearly 40% increase from its lowest point this year.

Several factors contribute to the anticipated surge in Bitcoin's price. One of the most compelling arguments comes from Robert Kiwasaki, author of Rich Dad, Poor Dad, who highlighted Bitcoin's superiority over gold and silver due to its fixed supply cap of 21 million coins. Unlike gold and silver, whose supply can increase with intensified mining operations during price surges, Bitcoin's supply remains constant. With over 4 million coins estimated to be lost forever and 19.8 million already mined, only about 1.2 million coins remain to be mined. Additionally, the rising mining difficulty means fewer new coins are being introduced, while the amount of Bitcoin in exchanges has reached its lowest level in over five years.

Demand for Bitcoin is also on the rise, as evidenced by strong inflows into Bitcoin ETFs this year. All Bitcoin ETFs have attracted over $40 billion in inflows since their approval in 2024. The iShares Bitcoin Trust (IBIT) alone has over $64.45 billion in assets, making it a significant player in the market. This surge in demand coincides with a decreasing supply, driven largely by institutional investors rather than retail investors. Major hedge funds like Citadel, Millennium, and Susquehanna, along with companies like Tesla, Coinbase, Strategy, Block, and MetaPlanet, have all invested in Bitcoin, viewing it as a more liquid asset than real estate and private equity. Governments are also expected to join this trend, seeking to diversify their treasuries away from the US dollar.

These factors have led analysts to be highly bullish on Bitcoin. Blackrock analysts predict Bitcoin could surge to over $700,000 in the long term, while Cathie Wood’s Ark Invest expects it to reach $2.4 million. Other analysts from companies like Standard Chartered, Bitwise, and Fundstrat also see continued momentum. The weekly chart shows Bitcoin forming a cup and handle pattern, with the handle section completed in November when the coin broke out to a record high of $108,520. Bitcoin remains above all moving averages, indicating that bulls are in control. The initial target is the all-time high of $109,300, with potential gains extending to $150,000 by the end of the year, pushing its market cap to over $2.97 trillion.