How Bitcoin's Price Could Surge to $112K in 2021, According to CryptoQuant CEO

Bitcoin’s Price Poised for an Upcoming Rally, Says CryptoQuant CEO

The CEO of CryptoQuant, Ki Young Ju, believes that Bitcoin’s price is on the verge of a significant rally this year. In fact, he suggests that the asset could surpass $100,000 for the first time ever. However, certain developments need to occur for this scenario to unfold, particularly the approval of spot Bitcoin ETFs in the United States.

ETFs Behind BTC’s Upcoming Rally?

Experts have been speculating on whether the approval of spot Bitcoin ETFs will have a sell-the-news effect on BTC. While the cryptocurrency experienced a slump in its price during the first two weeks of ETF trading in January, many remain bullish on its long-term effects. Ki Young Ju is confident that BTC’s price will rise this year, largely driven by inflows in the ETFs.

Since the launch of ETFs, BTC’s market has seen significant spot ETF inflows, totaling $9.5 billion per month. This influx of funds could potentially boost its realized cap by $114 billion annually. As a result, BTC’s price could reach $112,000 in the best-case scenario or $55,000 in the worst case. Even growing GBTC outflows are unlikely to have a substantial negative impact.

$100K to Be Broken?

In 2021, many BTC proponents adopted “laser eyes” as their profile pictures on social media platforms like Twitter. This symbolized their belief that Bitcoin would eventually surpass $100,000. While this milestone wasn’t achieved at that time and BTC experienced a decline in price afterward, Ki Young Ju believes that the inflow trend from ETFs could trigger the next major bull run and propel Bitcoin above $100,000 for the first time.

The CEO also points to the MVRV metric, which indicates that market bottoms occur at 0.75 and tops at 3.9. Currently, the metric stands at 2.07, suggesting a worst-case price point of around $60,000 if there’s no hype in the coming months. However, given BTC’s historical price performance around halving events and the upcoming fourth halving, it is unlikely that the price will remain stagnant.