CryptoQuant CEO predicts Bitcoin’s rally toward $100K mirrors 2020 surge, fueled by whale accumulation, halving effects, and short squeezes.
Bitcoin’s recent rally toward the $100,000 mark shows signs of mirroring the price surge seen in 2020. CryptoQuant CEO Ki Young Ju shared his analysis on X, pointing out that the ongoing rally seems supported by months of accumulation by whales. According to him, the current situation is similar to 2020, when Bitcoin’s price surged sixfold to $67,000.
Ki Young Ju has been tracking on-chain whale activity for months. He emphasized that despite some initial skepticism, the data seems accurate. In 2020, many critics dismissed the whale accumulation data as exaggerated, and even Ju himself had doubts. However, the rationale for this accumulation is now clear.
Ki Young Ju Sees Parabolic Bitcoin Bull Run Following 2020 Halving Trends
One key factor Ju highlights is the impact of the Bitcoin halving event in May 2020. After the halving, mining costs doubled. This forced the price to increase to maintain profitability for miners. As a result, Bitcoin experienced a parabolic bull run that covered increased mining costs and led to significant profits.
In addition to whale accumulation and mining costs, Ju also points to the role of short traders in driving the current rally. Many traders have been shorting Bitcoin, fueling the bull market through short squeezes. Ju recalls how, in late 2020, traders were betting against Bitcoin during its price discovery phase, only to have their positions liquidated in a massive short squeeze that accelerated the price surge.
The fourth quarter of each Bitcoin halving cycle has historically seen significant price movements. Ju expects this trend to continue, with whales ensuring that Q4 sees a manageable year-over-year performance. He predicts the current rally will continue into the final quarter of 2024, driving Bitcoin to new heights.
As of November 21, Bitcoin has crossed the $98,000 mark, reaching an all-time high. A rapid growth of Bitcoin’s has created lot of buzz. Some now argue that it could rise to a range of $ 100,000 in the near future. Further, the continuous accumulation of whales boosts this optimism. Furthermore, the halving and short squeeze effects are emerging as the major ones. Therefore, the price BTC trajectory appears to be more and more like an upward one.
