The co-founders of the crypto analytics firm Glassnode have shared their bullish outlook on Bitcoin, predicting that the leading cryptocurrency could reach a new all-time high sooner than expected.
Glassnode Co-Founders Expect US Dollar Index to Peak
Jan Happel and Yann Allemann, the co-founders of Glassnode, are known for their insightful analysis of the crypto market using various on-chain metrics. They recently posted their views on the social media platform X, where they have over 55,000 followers.
According to them, one of the key factors that could drive Bitcoin’s price higher is the US dollar index (DXY), which measures the value of the US dollar against a basket of six major currencies. The DXY is currently valued at 103.51, according to MarketWatch
Happel and Allemann predict that the DXY will peak at 106, which would indicate a strong demand for the US dollar as a safe-haven asset amid global economic uncertainty. However, they also expect that this peak will be followed by a reversal, which would create a “prime Bitcoin environment”.
They explain that a declining US dollar index would imply that investors are starting to shift their capital into riskier assets such as cryptocurrencies. This would increase the demand and value of Bitcoin, as well as other digital assets.
Bitcoin Could Aim for $37,000 Before Soaring Higher
The Glassnode co-founders also shared a chart that shows their projection for Bitcoin’s price movement in the coming months. They suggest that Bitcoin could aim for $37,000 as its next target, before soaring higher in the autumn.
The chart also shows that Bitcoin has been following a similar pattern to its previous cycles, which were marked by periods of accumulation and consolidation, followed by explosive growth and correction.
They note that Bitcoin has shown signs of recovery this week, after dipping below $26,000 on Sunday. They say that “oversold indicators hint at potential short-term gains”, but they also warn that “the risk signal plateauing at 100 suggests a consolidation phase until demand dynamics shift”.
At the time of writing, Bitcoin is trading at $26,057, according to CoinMarketCap2. The top-ranked crypto asset by market cap is still down by about 62% from its all-time high of more than $69,000, which it reached in November 2021.
Glassnode Co-Founders Are Not Alone in Their Optimism
The Glassnode co-founders are not the only ones who are optimistic about Bitcoin’s future. Many other analysts and traders have also expressed their bullish views on the crypto market recently.
For instance, PlanB, the creator of the stock-to-flow model, which predicts Bitcoin’s price based on its scarcity and halving cycles, has reaffirmed his confidence in his model. He says that he expects Bitcoin to reach $100,000 by December 20233.
Similarly, Willy Woo, a prominent on-chain analyst and partner at Adaptive Capital, has said that he believes Bitcoin is in a “new bull cycle”. He cites several indicators that suggest that Bitcoin’s network is growing stronger and more resilient4.
Moreover, Michael Saylor, the CEO of MicroStrategy, a business intelligence firm that has invested over $1 billion in Bitcoin as a treasury reserve asset, has said that he thinks Bitcoin is “a million times better” than gold or any other store of value5. He says that he plans to hold his Bitcoin for 100 years or more.
Conclusion
The co-founders of Glassnode have shared their bullish prediction for Bitcoin’s price, based on their analysis of the US dollar index and other on-chain metrics. They expect Bitcoin to reach a new all-time high sooner than expected, as the US dollar index peaks and reverses.
They also point out that Bitcoin has shown signs of recovery this week, after dropping below $26,000 on Sunday. However, they caution that Bitcoin may enter a consolidation phase until the demand dynamics change.
They are not alone in their optimism for Bitcoin’s future. Many other analysts and traders have also expressed their bullish views on the crypto market recently, citing various factors that support their outlook.