The journey towards new all-time highs for Bitcoin (BTC) will likely include significant corrections of 20% or more, with potential corrections in Q4, even though this is generally a strong quarter for crypto prices, according to market analyst Jordi Visser.
Visser noted that Bitcoin is a part of the AI trade, likening BTC to Nvidia, a top-tier computer chip manufacturer that has risen to become the most valuable publicly traded company and the first to achieve a $4 trillion valuation. Visser stated:
“I want to remind everyone that Nvidia has surged over 1,000% since the launch of ChatGPT. In that time, which is under three years, there have been five corrections of 20% or more in Nvidia before it climbed back to all-time highs. Bitcoin is likely to follow a similar path.”
As artificial intelligence begins to dominate more sectors and replaces human labor, it may undermine traditional companies and render some stocks obsolete, steering investors towards BTC, which Visser believes will be the premier store of value in the digital era.
The value of Bitcoin is one of the most scrutinized and analyzed subjects in the crypto world, as analysts strive to predict the digital currency’s price trajectory amidst rapid technological advancements, market disruptions, and the erosion of fiat currencies.
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Analysts struggle with Bitcoin’s sluggish performance
Market analysts are observing gold and stocks reaching new all-time highs, while Bitcoin’s price hovers around the $110,000 mark, approximately 11% below its all-time high of over $123,000.
Investors are split on the possibility of new highs in Q4, which could propel BTC to around $140,000, contrasted with concerns that the recent downturn could signal the onset of a prolonged bear market that might drop BTC’s price to $60,000.
Regulatory challenges and the stagnation of efforts to establish a Bitcoin strategic reserve in the U.S.—which would grow through periodic market purchases—have diminished some analysts’ expectations.
Earlier, some analysts predicted that U.S. government acquisitions of BTC for a national reserve could serve as a significant price driver for the digital asset by 2025.
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