- The Mayer Multiple, a widely followed price indicator, suggests that BTC has significant upside potential.
- Premium indexes are seeing notable buying activity from Korean investors, which has supported BTC’s price action.
Bitcoin [BTC] was trading at $95,646 at the time of writing, down 7.89% from last week’s high. While the daily decline is a modest 0.52%, it indicates that selling pressure has eased, potentially creating room for further gains.
According to AMBCrypto, the pullback to the $90,000 range is in line with Bitcoin’s overall bullish trajectory as the asset sees a move to higher levels.
Bitcoin Price Prediction: BTC is on track to rally to $168,000
According to analyst Ali Charts, Bitcoin remains on a bullish trajectory despite the recent price drop.
This current price correction is seen as part of a larger market structure that could push the cryptocurrency towards the $168,000 region – a potential peak derived from the Mayer Multiple (MM).
The Mayer Multiple, an indicator available on Glassnode, calculates potential market tops and bottoms by dividing the current price of BTC by its 200-day moving average.
Based on this metric, the potential top of the market is indicated at a MM of 2.4 (red line), which equates to approximately $168,494. Meanwhile, the bottom is defined at 0.8 MM (green line), or $56,141.
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It is important to note that the Mayer Multiple, currently at 1.3, reflects a fair valuation for BTC, but does not directly dictate the direction of the market.
However, if there is room to climb to the MM peak of 2.4, BTC could rise to $168,494, a level that would put it in overvalued territory.
Institutions and major investors keep BTC intact
Institutional and large-scale investors play an important role in maintaining Bitcoin’s price range. Recent data indicates a sharp increase in interest from these entities as the cryptocurrency becomes popular again.
According to CryptoQuant, this group has significantly increased its share of Bitcoin’s Known Entities Cap Table, from 14% last year to 31% at the time of reporting.
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If this buying trend continues, it could positively impact Bitcoin’s trajectory by further strengthening its position in mainstream financial markets.
AMBCrypto’s analysis of US, Korean, and traditional investors revealed that bullish sentiment continues, indicating continued confidence in BTC’s potential.
Korean Investors Accelerate Bitcoin Purchasing
Over the past 24 hours, Korean investors have seen a large increase in BTC purchasing activity, most recently peaking in August. The current reading of the Korean Premium Index has risen to 5.26, compared to a negative 0.37 on December 15.
This level of increased buying activity signals continued accumulation, which could soon be reflected in the price of BTC, potentially pushing it higher in the coming trading sessions.
Source: CryptoQuant
In contrast, US investors have shown less interest, as evidenced by a decline in the Coinbase Premium Index. The index remains negative at -0.1035, signaling a slowdown in buying activity.
Read Bitcoin’s [BTC] Price forecast 2024-25
Similarly, the Fund Market Premium Index, which tracks institutional buying and selling of Bitcoin, reflects this bearish sentiment. It currently stands at -0.759, amplifying the decline in institutional demand.
Source: CryptoQuant
If US and institutional investors start buying again, their participation – combined with bullish momentum from Korean investors – could push Bitcoin’s price higher into the $100,000 region.