Bitcoin ‘Terminal Price’ indicates next BTC all-time high could be at least $110,000
If historical patterns repeat, Bitcoin has the potential to reach a six-figure price in its next cycle, as suggested by an on-chain indicator.
According to data from on-chain analytics platform Look Into Bitcoin, Bitcoin’s “Terminal Price” indicates a possible six-figure top for the cryptocurrency.
Bitcoin price projected to reach six figures in the next cycle
As Bitcoin’s price continues to reach new highs, experts are already speculating on how high it could go in the coming months and years.
After the next block subsidy halving in April 2024, analysts predict that Bitcoin could potentially reach $130,000, with late 2025 being a popular timeframe for the next cycle’s peak.
Look Into Bitcoin creator Philip Swift described the Terminal Price as a “simple” method of estimating long-term Bitcoin price peaks. It is calculated using Bitcoin’s “Transferred Price,” which is derived by dividing “Coin Days Destroyed” (CDD) by the existing supply.
CDD is a popular metric that measures the number of dormant days reset each time a certain amount of Bitcoin is moved on-chain. It provides insight into hodler intent and activity.
Terminal Price, created by Checkmate, the lead on-chain analyst at data firm Glassnode, comes into play at the top of each Bitcoin price cycle.
Although not every all-time high reaches Terminal Price, Bitcoin did hit the trendline during its 2017 all-time high and its initial peak in April 2021. However, the November 2021 all-time high of $69,000 fell short of Terminal Price.
Philip Swift suggests that selling “near” Terminal Price would be a suitable strategy. Similarly, the bear market counterpart, “Balanced Price,” indicates useful market bottoms.
As Terminal Price increases over time, $110,000 may end up being a conservative target if the next all-time high occurs later in the next cycle.
Waiting for a Pi Cycle crossover
In further analysis, Swift also highlighted the “Pi Cycle Top” indicator as a reliable long-term high estimate.
Pi Cycle uses two moving averages for its forecasts, with their crossovers signaling the next high, often with just days’ notice.
“The Pi Cycle Top indicator caught so many off-guard last cycle, including myself, by perfectly identifying the top…again! Will it identify the Bitcoin top again this cycle?” Swift questioned.
This article does not provide investment advice or recommendations. All investment and trading decisions should be made after conducting thorough research.