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Top Reasons Why Bitcoin Hasn’t Reached $100,000 Yet from Capriole Investments Founder
Yuri Molchan
Charles Edwards has revealed the key drivers for the strong Bitcoin price appreciation he expects to see in the coming months
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Charles Edwards, crypto analyst and founder of the Capriole Investments fund, took to social media platform the main cryptocurrency, Bitcoin, it has not yet reached the $100,000 level.
He named the key factors that he believes will push the price of BTC higher in the coming months.
“Why aren’t we at $100,000 yet?”
Charles Edwards posted a thread on This price surge has not yet occurred despite the launch of the Spot Bitcoin ETF.
So far, he said, Bitcoin has only risen 50% since January, when the SEC gave the green light to ETFs, and many are wondering why BTC hasn’t risen higher, Edwards pointed out. Bitcoin is changing hands slightly above $71,000 at the time of writing.
Key factors for a strong rise in BTC in the future
First off, Edwards shared, “We are fighting a bigger force: long-term shareholder selling.” According to his tweet, the number of wallets holding Bitcoin long-term (those holding for more than two years) has dropped from an all-time high of 57% reached in December 2023 to 54% today. While this is only a 3% drop and may not seem impressive, it is still 630,000 BTC, or 300% of the total BTC supply that Bitcoin ETFs have purchased in the US since January.
The second reason shared by the analyst is that the market has not yet seen the true impact of the halving. In April, when the event occurred, daily Bitcoin issuance plummeted by 50%. Edwards believes that over the next year, the delta between ETFs buying Bitcoin and BTC being mined will increase much more. Financial institutions need time to review the situation and allocate funds for the purchase of Bitcoin; therefore, spot ETFs are likely to remain leaders in BTC purchases at least this year, he says.
Overall, Edwards named three factors that he believes are necessary for Bitcoin to start rising sharply. These are higher average daily ETF purchases, lower selling by long-term shareholders, and growth in US liquidity.
About the author
Yuri Molchan
Yuri is interested in technology and technical innovations. He has been writing about DLT and cryptocurrencies since 2017. He believes that blockchain and cryptocurrencies have the potential to transform the world in the future in many aspects of it. He has written for several crypto media. His articles have been cited by cryptocurrency influencers such as Tyler Winklevoss, John McAfee, CZ Binance, Max Keizer, etc.