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Experts forecast Bitcoin to rise to $112 000 - ForkLog: cryptocurrencies, AI, singularity, the future
The leading cryptocurrency could rise to $112 000 in the next one to three months. To achieve this, the Federal Reserve needs to ease monetary policy, according to CryptoQuant.
The market expects positivity not only from a reduction in the key interest rate but also from inflation forecasts and the pace of monetary policy easing next year.
To reach the target of $112 000, the first cryptocurrency must overcome two important barriers:
After testing the $99 000 mark, the further dynamics will depend on traders’ profit-taking. If selling pressure remains low, the rally will continue.
The main growth driver for Bitcoin is the decline in seller activity, CryptoQuant noted. The daily inflow of coins to exchanges has decreased from 88,000 BTC on November 21 to 21,000 BTC.
The share of deposits from large players has fallen from 47% to 21%. The average transfer size has decreased from 1.1 BTC to 0.7 BTC.
An additional factor considered by analysts is investor capitulation. Since November 13, large holders have realized a net loss of $3.2 billion. Historically, realizing losses indicates diminishing selling pressure and often precedes a price increase.
Signal for Bitcoin Accumulation
The net unrealized profit/loss ratio (NUPL) for Bitcoin has dropped to its lowest level since October 2023. This was noted by analyst Darkfost.
The NUPL metric reflects the difference between market and realized capitalization, allowing assessment of investor sentiment and unrealized profit volume.
The current coefficient value is 0.39. The expert noted that this level is still higher than the figures recorded during previous corrections.
Darkfost called this zone key for two reasons:
The analyst urged caution. However, the actual picture points to a potential entry opportunity similar to previous episodes in this cycle.
Ethereum Growth Potential
The current rally of the second-largest cryptocurrency by market cap differs from previous price jumps this year due to low funding rates. This was noted by analyst ShayanMarkets.
During previous surges, funding rates reached peak levels, indicating market euphoria and high speculative interest. Such overheating typically coincided with the formation of local maxima.
The current situation is different, ShayanMarkets emphasized. Despite the price recovery after falling to $2800, funding rates remain low. The derivatives market does not show the previous activity in leveraging.
Current growth is supported by spot accumulation rather than futures speculation. This divergence suggests that Ethereum does not yet have enough aggressive demand to start a full-fledged bullish trend. To resume a strong rally, an increase in funding rates is needed, confirming traders’ willingness to participate in the movement.
At present, the subdued backdrop reflects market recovery, not overheating. This leaves room for further growth if demand increases.
However, the expert warned that without new volume inflows, the upward impulse might not break resistance levels.
Recall that CryptoQuant stated that derivatives trading volume reached an all-time high and the market has become overly dependent on speculative capital — making it “mechanically more fragile.”