A well-known crypto economist, Timothy Peterson, thinks Bitcoin is about to reach a new all-time high in the next 8 months. He’s pretty confident about it, saying there’s a 90% chance it’ll happen before March 2025.
Why is Peterson so bullish?
Peterson’s prediction is based on his research, which looks at Bitcoin’s historical price trends. He noticed that Bitcoin’s price has never gone back down to a previous low point. He calls this the “Never Look Back Price” (NLB).
By analyzing these NLBs, Peterson sees a pattern of steady growth. He uses a special method to analyze this growth, comparing it to how new technologies spread and gain popularity.
Bitcoin’s Value is Tied to its Users
Peterson’s analysis is also based on Metcalfe’s Law, which says that the value of a network grows faster than the number of users. As more people use Bitcoin, its value is expected to increase exponentially.
Conservative Approach to Forecasting
Peterson’s approach is designed to be conservative. He focuses on the lowest prices, which helps to avoid overestimating Bitcoin’s value. He also takes into account things like market manipulation, which can distort the price.
The Future of Bitcoin
Peterson believes that as long as more people use Bitcoin, its price will continue to rise. If adoption slows down, the price might stay flat or even drop.
At the moment, Bitcoin is trading at around $58,192.
