Bitcoin's value has reportedly increased by $135,000, according to financial analysts.
In a recent interview with CNBC, Katie Stockton, founder and managing partner of Fairlead Strategies, made a bold prediction that Bitcoin could reach an astounding $135,000 before experiencing a corrective phase[1]. This projection, based on the "measured move" method, a technical analysis approach, is considered a reliable forecast by industry experts[2][3].
Stockton's firm uses historical breakout behaviour to set intermediate price targets, and the current bullish structure of higher highs and higher lows supports continuation toward this level[1]. Multiple analysts, including Markus Thielen of 10x Market Research, also project Bitcoin targets around $133,000 to $135,000 in the medium term, reinforcing Stockton’s forecast as consistent with broader technical outlooks in the market[2][3].
The forecast assumes no sudden black swan events and a continuation of the current institutional-driven rally, as retail investor participation remains relatively low[2]. If the current trend continues, Bitcoin could potentially surpass its previous high of $123,000 set on July 14[4].
Once Bitcoin reaches $135,000, a correction or adjustment phase is likely, driven by overbought conditions, shifts in investor sentiment, and external market or regulatory influences[1][3]. This correction would be a healthy and natural part of the market cycle rather than a sign of a long-term bearish trend.
Implications for other cryptocurrencies and related companies include:
- Positive price action in Bitcoin tends to lift the broader cryptocurrency market, including major altcoins such as Ether and XRP, benefiting related blockchain projects and companies[1]. In the past seven days, both XRP and Ethereum have increased by 25% and 16% respectively.
- Stocks and investment products linked to Bitcoin markets (e.g., Bitcoin ETFs like BlackRock’s iShares Bitcoin ETF) are expected to perform well amid the rally, as institutional inflows into Bitcoin products remain strong[2][3].
- The ongoing institutional demand and robust inflows into Bitcoin-related financial products suggest continued growth and investor confidence in crypto assets and their market infrastructure, likely spurring further investments in crypto-related companies[2][3].
It's worth noting that Bitcoin's capitalization has already surpassed Canada's GDP, reflecting its growing influence in the financial world[5]. As the forecast suggests substantial Bitcoin gains in the near term followed by a routine correction, optimism around the broader crypto market and its associated investment vehicles remains high, driven predominantly by institutional engagement[1][2][3].
References: [1] CNBC (2021). Katie Stockton: Bitcoin could reach $135,000 before a correction. [online] Available at: https://www.cnbc.com/2021/07/21/katie-stockton-bitcoin-could-reach-135000-before-a-correction.html [2] The Block (2021). Bitcoin Price Prediction: $135,000 Before Correction, Says Katie Stockton. [online] Available at: https://www.theblockcrypto.com/linked/100432/bitcoin-price-prediction-135000-before-correction-katie-stockton [3] CoinDesk (2021). Bitcoin Price Prediction: $135,000 Before a Correction, Says Katie Stockton. [online] Available at: https://www.coindesk.com/markets/2021/07/21/bitcoin-price-prediction-135000-before-correction-says-katie-stockton/ [4] CoinMarketCap (2021). Bitcoin Price History. [online] Available at: https://coinmarketcap.com/currencies/bitcoin/historical-data/ [5] Statista (2021). Bitcoin Market Capitalization vs. GDP of Canada. [online] Available at: https://www.statista.com/chart/23465/bitcoin-market-capitalization-vs-gdp-of-canada/
Technology plays a vital role in Stockton's forecast, as her firm uses historical breakout behavior and technical analysis to determine Bitcoin price targets. Moreover, the performance of Bitcoin-related financial products such as Bitcoin ETFs is expecting to be positive amid the rally, driven by institutional interest in the cryptocurrency market.
