Bitcoin price with new record: 100,000 USD in May?

After a bullish weekend, investors are taking advantage of the new all-time high in bitcoin to take profits. However, there are indications that the end of the road has not yet been reached. Market update.

On a brilliant weekend, the bitcoin price climbed to a new record high. The cryptocurrency rose to 61,170 US dollars on Saturday, 13 March. This means that the Bitcoin price has gained over 1,000 percentage points since the Corona crash a year ago. Reason enough to take a profit or two: At the time of writing, Bitcoin is trading at 58,681 US dollars, just below the recently conquered 60,000 mark.

As is often the case, the altcoins got carried away by the Bitcoin rally and are also printing largely green candles – at least on a weekly basis. Within the top 50 coins by market capitalisation, Chiliz (CHZ), Hedera Hashgraph (HBAR) and Enjin (ENJ) in particular can Bitcoin Evolution boast strong price gains in the triple-digit percentage range. Chiliz (up 400 per cent) and Enjin (up 95 per cent) are benefiting from the growing hype around non-fungible tokens, a sector in which the two projects specialise.

After Record High: Almost All Bitcoin Investors Up

The strong development of the Bitcoin price has ensured that virtually every Bitcoin holder is currently in the black again. 99.36 percent of all Bitcoin units (Unspent Transaction Outputs, UTXO) are worth more than when they were created. This is according to blockchain data from analysts Glassnode.

The fact that a long Bitcoin position pays off is not only underlined by Glassnode’s UTXO analysis. A look at Datamish’s data suggests that fewer and fewer traders are venturing into a short position, speculating on a falling bitcoin price

A year ago, the share of short positions in margin trading with Bitcoin was still over a third. This share has fallen to below six per cent over the course of the year.

The conquest of the recent all-time high has ruffled the feathers of many a bear: on the Bitcoin derivatives exchange Bitmex alone, short positions with a volume of 75 million US dollars were liquidated on Saturday.

With its continued bullish price performance, Bitcoin remains within the price range forecast by the stock-to-flow model (S2F). First applied to Bitcoin by Dutch crypto analyst PlanB, the method has so far proven to be a surprisingly accurate metric for modelling Bitcoin’s price. Specifically, PlanB has found a putative correlation between Bitcoin’s stock-to-flow ratio, Bitcoin halvings and the Bitcoin price.

Should the Bitcoin price continue to follow the – not entirely uncontroversial – model, Bitcoin bulls have every reason to scuff their hooves. Because that would mean that the bitcoin price will rise to 100,000 US dollars before the end of this year. This could happen as early as May.