Bitcoin BTC/USD has been the go-to cryptocurrency for many people because it was, is, and for the foreseeable future, will remain on the #1 spot. It introduced the world to cryptocurrencies and paved the way for other altcoins.
Increased Bitcoin adoption by the mainstream as a catalyst for growth
On September 19, A Bitcoin wallet that had been inactive for nine years finally re-awakened when its owner transferred all 616 of its Bitcoins to a different wallet.
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In fact, looking at it from a historical point of view, on December 10, 2012, the wallet received 616.21004 BTC. Bitcoin was worth $13.30 at this point in time, so the entire transaction was worth $8,195.
With the value Bitcoin has on September 20, this would make that same balance $26.5 million dollars.
According to Blockchain.com, the wallet moved at 05:50 UTC.
Additionally, the Senior Commodity Strategist at Bloomberg Intelligence, Mike McGlone, posted that he expects Bitcoin to reach $100,000 by the end of the year.
He claims that this will become a possibility as more people in the mainstream adopt this cryptocurrency. Given the fact that Bitcoin is capped at 21 million, this decrease in supply will act as a driver for an increase in the price, according to McGlone. Then we have the Twitter crypto community that have marked the following season as “The Liquidity Crisis Pump of 2021” based on the supply on exchanges being low. Let’s do an analysis and find out more.
There are numerous view-points about the future of Bitcoin, with others putting an emphasis on its consistency. Some have their stances at a macro-bullish growth at around the $56,000 mark.
The analysis from Glassnode showcases a downward spiral of the BTC token’s liquidity, however, this still has the potential to increase the value of BTC tremendously in Q4 of 2021.
Should you buy Bitcoin (BTC)?
On September 20, Bitcoin (BTC) had a value of $43,241.
To get a perspective of its value and growth, we will be comparing it to it’s all-time high value and its performance throughout August.
Bitcoin (BTC) achieved its all-time high value on April 14, where the token increased its value to $64,804. When compared to the value, it had on September 20, we can see a difference of $21,563 or 49%.
Its lowest point was on August 4, where Bitcoin dropped to a value of $37,736.
This being the case, it kicked back up in value, where on August 23, it climbed to $50,430. Here we can see that bitcoin raised in value by $12,694 or 33% throughout that specific time frame.
According to data from IntoTheBlock, Bitcoin saw $846.47 billion in transactions greater than $100,000 within the last seven days.
Additionally, BTC also saw $7.15 billion in total exchange inflows as well as $7.52 billion in total exchange outflows.
With all of this in mind, it is truly possible that Bitcoin can increase its value to $50,000 by the end of September, making it a worthwhile investment. However, if things swing the other way around and the token drops under $40,000 again, it might be worth waiting and reconsidering.
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