Is Bitcoin Primed to Hit $200,000 by Year’s End ?

7% Correction After New All-Time High

After establishing a new peak at $123,400 in July, Bitcoin subsequently experienced a 7% correction, falling back to $111,900. However, several encouraging on-chain signals, ranging from sustained exchange outflows to low miner balances, suggest a possible climb toward $200,000 by the end of the year. Let’s take a closer look at these key indicators.

Stable Influx of Stablecoins on Binance

Stablecoin reserves on Binance remain high, suggesting the presence of capital waiting to re-enter the market. This dynamic could stimulate demand as we approach Q4.

Consistent Bitcoin Outflows

Positive Bitcoin outflows have continued since mid-April, signaling strong accumulation by holders. This reduction in available supply could favor future price appreciation.

Declining NVT Ratio

Bitcoin’s NVT ratio has fallen by more than 32%, indicating a better balance between network value and actual transaction volume. Historically, such declines have preceded bullish phases.

Miners’ OTC Balances at Record Lows

Additionally, miners’ OTC balances have fallen to their lowest level in years, demonstrating extreme caution in selling. This restraint could limit selling pressure.

End of Turbulence for Bitcoin ?

After months of turbulence, Bitcoin’s weighted sentiment has turned positive again, reflecting cautious confidence among traders. This stabilization is an encouraging sign.

Nevertheless, the RHODL’s return to the bear market zone indicates demand is still weak currently.

According to Ki Young Ju, Michael Saylor is supporting the BTC price while whales have sold their holdings. Nevertheless, some are wondering what might happen in the coming months as Saylor approaches the end of his cash reserves.

Although on-chain signals are favorable, Bitcoin’s future trajectory will depend on market demand and sentiment. If Q4 seasonality and Binance’s stablecoin reserves materialize, Bitcoin could resume its ascent toward $200,000. Otherwise, market saturation and hesitant sentiment could slow the rally.

Moreover, analysts point to a peak of $150,000 in the coming months. Reaching $200,000 will require explosive growth and massive adoption.

More on this topic :

• ATOM Holds Above $4 Support : Here’s Why It Matters
• Bitcoin Dips to $112,000 : Is a Calm Summer Ahead for BTC ?
• Is Indonesia Planning to Establish a National Bitcoin Reserve : Is it Time to Buy ?