Crypto analysis company 10x Research is predicting a massively bullish future for Bitcoin in the coming months. In its latest analysis, which was published on YouTube, the company predicts a rise to $100,000 by January 2025.
Why Bitcoin Price Could Hit $100,000 In January
Central to their $100,000 forecast is a model that recently triggered two buy signals, the most recent occurring on October 14. Historically, when BTC price “sets a new six-month high for the first time in six months,” the median return over the next three months is 40%. The report notes that “if that plays out this time around, a 40% jump from Bitcoin’s current price would put it over $101,000 by January 27, 2025.”
10x Research also introduces the concept of the “Bitcoin Black Hole,” where BTC’s increasing dominance “pulls value away from altcoins.” This phenomenon suggests that “as Bitcoin gets stronger, other cryptocurrencies are getting weaker,” reflecting a significant shift in the crypto market’s dynamics.
The narrative surrounding crypto has evolved. While decentralized finance (DeFi) was the focal point a few years ago, the spotlight has shifted to Bitcoin as “digital gold” with the launch of the spot BTC ETFs in the United States. This perception is particularly appealing to institutional investors like BlackRock. The report observes that retail interest is still quite low, “We’re seeing very little selling interest even as BTC approaches a new potential all-time high.”
Institutional demand is further evidenced by the spot ETFs purchasing “$4.1 billion worth of Bitcoin just in October.” The momentum “doesn’t seem to be slowing down,” 10x Research notes.
The bullish sentiment extends to mining stocks, which are experiencing substantial gains. CleanSpark’s stock is up 39%, Iris Energy has surged by 133%, and Bitdeer saw a 24% jump in a single day. According to 10x Research, “mining stocks are a leveraged play on Bitcoin,” meaning that “if Bitcoin surges, these stocks are set for major gains.”
Several forthcoming events could amplify BTC’s ascent. 10x Research predicts a Trump victory in the US elections, suggesting that such a political outcome “could lead to a pro-growth environment” favorable for Bitcoin.
The firm also posits that MicroStrategy, which holds billions in BTC, could be added to the S&P 500 index on December 6. “Getting added to the S&P 500—that’s a big deal,” as it would compel index funds to purchase MicroStrategy shares, potentially leading to a “serious price surge.”
Additionally, potential adjustments in accounting standards (SAB 121) could allow companies to report cryptocurrency holdings at fair market value. This shift means that “instead of having to write down their Bitcoin holdings when the price drops, they could report them at their current market value,” encouraging more corporations to add Bitcoin to their treasuries.
Ethereum Price Outlook
While Bitcoin’s future appears bright, Ethereum’s prospects are less optimistic according to 10x Research. Despite market movements, Ethereum “hasn’t even reached its previous all-time high from back in 2021.” One factor affecting Ethereum is the comparatively low staking yields.
“The two-year Treasury yield is sitting at 4.1%, while ETH staking yields are just 2.9%,” making Ethereum staking “less attractive” when traditional financial instruments offer better returns. Moreover, Ethereum’s dominance in initial coin offerings (ICOs) and DeFi has diminished, with “cheaper meme tokens on other blockchains” attracting the investment that once flowed into Ethereum-based projects.
Additionally, there is a plateau in both daily active users and development activity on the Ethereum network. The report notes, “This raises questions about Ethereum’s long-term potential,” even amid its price volatility.
10x Research expresses skepticism regarding Ethereum’s long-term viability without significant innovation. While there may be “some short-term rallies,” the firm asserts that Ethereum “needs to step up its game if it wants to remain a major player in the crypto world.”
At press time, BTC traded at $71,904.
