YEREVAN (CoinChapter.com) — Despite a recent drop, Bitcoin’s bull rally could last for another 350 days, according to a report by Bybit and BlockScholes. The analysis is based on historical data from previous Bitcoin cycles.
Institutional Investors Fuel Bitcoin’s 2024 Rally, Driven by ETF Inflows
Institutional investors are playing a key role in Bitcoin’s 2024 bull run. The report from Bybit and BlockScholes points out that these inflows, especially from Bitcoin ETFs, have significantly impacted Bitcoin’s price this year. Since the launch of BTC Spot ETFs in early January 2024, Bitcoin’s price movements have closely followed these ETF inflows.
The report notes that institutional interest has driven the current rally, unlike previous cycles where retail investors had more influence. Retail participation has been lower in this cycle, possibly due to a decrease in personal savings after a period of high inflation.
Bitcoin’s Trough-to-Peak Ratio Signals Potential 350-Day Rally Extension
The report analyzes Bitcoin’s trough-to-peak ratio, which helps in understanding price trends. Currently, Bitcoin has a trough-to-peak ratio of 3.5x, lower than the 20x ratio seen in earlier cycles. Bybit and BlockScholes suggest that Bitcoin’s bull rally could continue for another 350 days, possibly extending into the third quarter of 2025.
Nathan Thompson, lead tech writer at Bybit, explained,
“First, at the beginning of the cycle, we see BTC spot price recover from its cycle lows back towards the all-time high value that it recorded in the previous cycle. Then, we have in each case observed BTC spot price push past that previous all-time high into new, unexplored higher price levels.”
Thompson’s analysis is consistent with those of other notable crypto analysts, including Rekt Capital, who believes that we are 42.5% through the current bull cycle based on previous Bitcoin halving cycles.
BTC Eyes Recovery with $63K Target After Recent Drop
Bitcoin recently dropped to five-month lows. However, the report indicates that the cryptocurrency could recover its post-halving growth trajectory if it rises above $63,000 before the end of 2024. Reaching this level could put Bitcoin on track toward the $100,000 mark, based on historical Bitcoin halving cycles.
The report highlights the importance of this price level. Falling below it could affect the current rally, but recovering it could lead to further gains. Bitcoin’s recent decline occurred alongside a $510 billion crypto market sell-off, impacting many assets. However, the potential for recovery remains if institutional inflows continue.
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