Bitcoin Braces for $120,000 ATH as Supply Shock Looms—Wall Street Still Won’t Get It
Bitcoin's ticking time bomb just got louder. With the mother of all supply shocks approaching, the crypto king is primed to smash through $120,000—whether traditional finance is ready or not.
The Halving Effect: Miner Rewards Cut, Scarcity Amplified
Four months post-halving, the math gets brutal. Daily new BTC supply just got slashed to 450 coins while institutional ETFs guzzle 5,000+ daily. Somebody's gonna get caught short when the music stops.
Wall Street's FOMO Playbook: Late, Wrong, and Leveraged
Goldman's 'digital gold' research notes hit desks 15 years late as BlackRock's ETF hoovers up coins faster than Jamie Dimon can say 'fraud.' Spoiler: banks always buy the top.
Retail's Revenge: Meme Coins to Main Street
While hedge funds overcomplicate custody, the real action's in self-custody wallets hitting record highs. Main Street finally gets it—your keys, your coins, your Lambo.
The Cynic's Take: Of course BTC rallies when pension funds start 'risk management'—nothing screams 'top' like Connecticut's retirement system buying the dip.
Bitcoin Investors Are Hyper Bullish
Short-term holders (STHs) are heavily bullish towards Bitcoin, as evidenced by their increasing accumulation behavior. Over the past month, the Shrimp to Fish cohort has added more than 19,300 BTC to its holdings.
Meanwhile, Bitcoin miners have only issued 13,400 BTC, indicating a significant disparity in demand and supply.
The persistent net absorption by STHs, along with a decrease in new BTC issuance, suggests tightening on the supply side. This tightening of supply is a critical factor in Bitcoin’s price action.
Long-term holders (LTHs) also show strong accumulation behavior, further contributing to the tightening supply.
LTHs are currently absorbing more bitcoin than miners can issue, creating an environment where the demand for BTC surpasses its supply. This uniform behavior across all major investor cohorts signals that Bitcoin may soon experience a supply shock.
This scenario is historically a bullish signal for Bitcoin, as it suggests that a significant portion of the circulating supply is being taken off exchanges, reducing market liquidity. The current trend of net absorption could lead to sustained upward pressure on Bitcoin’s price.
BTC Price May Form A New High
Bitcoin’s price has increased by 9.7% over the past week, trading at $118,712, just under its ATH of $118,869. With strong accumulation trends and tightening supply, Bitcoin is well-positioned to continue its bullish run in the coming days.
The growing investor confidence and market momentum indicate that BTC could easily push past its current ATH.
Given the persistent demand and limited supply, Bitcoin is poised to reach the $120,000 mark. This WOULD act as a crucial bullish trigger for further inflows into the market.
If Bitcoin manages to secure this level, it would set a new ATH and pave the way for more substantial gains.
While the chances of a decline are relatively low due to the strong accumulation behavior of investors, Bitcoin could face challenges on Monday when the stock markets open.
The potential impact of Donald Trump’s recent 30% tariffs on the European Union could create short-term volatility. If Bitcoin reacts negatively to the market conditions, a drop to $115,000 is likely.
