10X Research explained that the 'black hole effect' is a situation where, against the backdrop of rising quotes of the first cryptocurrency, its dominance increases. The leading coin 'draws in' capital and decreases the value of other assets, experts reported.
When the price of digital gold demonstrates a new high over six months, there is an observed price increase of at least 40% in the following three months, analysts said. Accordingly, a 40% increase from the current price of $72,000 would allow Bitcoin to reach $100,000 by the end of January 2025.
Additional incentives for the bullish trend include the possibility of including shares of the largest publicly held Bitcoin holder, the American company MicroStrategy, in the S&P Global index and the likelihood of Donald Trump winning the US presidential election on November 5, experts indicated.
Institutional investors have started to invest more frequently in spot Bitcoin ETFs, and in just October, the BTC-ETF market attracted $4.1 billion. The influx of capital will continue, assured 10X Research.
'Gold has always been considered a safe-haven asset, so if Bitcoin is the new digital gold, it makes sense that institutional investors would be interested in it,' summarized 10X Research.
According to analysts at 10X Research, it is currently important for the first cryptocurrency to strengthen at the support level of $70,000 to maintain the upward momentum.
Earlier, the Chief Investment Officer of Bitwise Asset Management, Matt Hougan, named factors that could push Bitcoin above $200,000.
