After months of sideways consolidation, Bitcoin is experiencing bullish price action within a range between its all-time high (ATH) of $73,000 and local lows of around $49,000. Despite the recent volatility and widespread speculation, confidence among investors and analysts remains strong. Many believe that BTC is poised not only for another major surge but also for a larger role on the global stage as a currency.
CryptoQuant’s CEO Ki Young Ju recently shared a detailed analysis, emphasizing the growing possibility that Bitcoin could evolve into a global currency. His analysis highlights various macroeconomic factors and adoption trends that support this view, suggesting that BTC’s current price movements are merely the early stages of a much larger financial revolution.
As BTC continues to gain mainstream attention, its potential to reshape global finance and challenge traditional currencies is becoming more evident. The next few months could provide further insight into whether Bitcoin’s price action aligns with these long-term forecasts.
Bitcoin Volatility Will Reduce Over Time
In his analysis, Ki Young Ju emphasizes that Bitcoin will likely be used as a “currency” by 2030, driven by several key factors. One significant factor is Bitcoin’s mining difficulty, which reflects the competitive landscape of the mining industry.
Over the past three years, mining difficulty has surged by 378%, reaching all-time highs. In 2009, a single PC could mine 50 BTC, but today, individual miners struggle to compete against large mining operations backed by institutional investors. This shift toward institutional dominance is crucial, as it increases entry barriers and contributes to reduced volatility, making BTC a more attractive option for use as a currency.
As we approach the 2028 halving event, Bitcoin’s potential as a low-volatility currency will further improve. Additionally, companies like Stripe are investing in the stablecoin infrastructure, which, alongside regulatory advancements, is expected to foster the mass adoption of stablecoins within three years.
By April 2028, during the next halving, discussions about Bitcoin’s viability as a currency will likely gain momentum, Ju states, especially as its volatility decreases and the overall ecosystem matures.
Moreover, growing familiarity with blockchain wallets and adopting stablecoins will enhance Bitcoin’s chances of being utilized as a currency. Innovations such as protocol improvements, Layer 2 networks, or Wrapped BTC will also play a vital role.
Ultimately, as volatility diminishes, Bitcoin’s transformation into a widely accepted currency becomes increasingly inevitable. Satoshi Nakamoto envisioned BTC as “peer-to-peer electronic cash,” not just digital gold, and with the maturation of Bitcoin’s ecosystem, this vision may finally come to fruition by 2030.
BTC Bull Run Incoming
Bitcoin is trading at $67,000, near its all-time high (ATH) of around $73,000, and investor sentiment is increasingly optimistic about a potential bull run starting this year, especially following the halving event scheduled for April. Historically, BTC tends to experience significant price surges during halving years, as the mining rewards are halved, leading to a reduction in supply and an increase in mining costs.
Analyzing the monthly BTC chart reveals a clear pattern: every major rally in Bitcoin’s history has commenced after a halving event, with price discovery propelling BTC to new heights once it breaks through previous ATHs.
If BTC successfully surpasses the $73,000 mark, it is expected to encounter massive buying pressure, pushing the price into uncharted territory. This breakout will likely trigger fear of missing out (FOMO) among new investors who may have missed opportunities to accumulate at lower price points.
As momentum builds, the market could witness an influx of buyers eager to capitalize on the bullish trend, further driving the price. With the halving event on the horizon, many closely watch price action, anticipating a repeat of the explosive growth seen in previous cycles.
Featured image from Dall-E, chart from TradingView