CryptoQuant CEO predicts Bitcoin could rise another 40% as the biggest pain eases

Ki Young Ju, CEO of CryptoQuant, predicts that Bitcoin could see upside of up to $40% as the price surges toward $75,000, and recommends taking profits gradually as the “greatest pain” eases.

Bitcoin price surged to a new all-time high of $75,400 following the latest U.S. presidential election updates. Preliminary results show that self-described pro-cryptocurrency candidate Donald Trump is gaining significant momentum.

This political development triggered a sharp rise in the price of Bitcoin. Although Bitcoin has now stabilized at around $74,000, its upward momentum has strengthened its position as one of the top ten financial assets in the world by market capitalization.

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The Bitcoin market has calmed down and may rise by 40% in the future

Amid the recent rally, market analysts have turned their attention to the cyclical nature of Bitcoin. Ki Young Ju, CEO of CryptoQuant, highlighted how Bitcoin holders typically behave during market cycles. He noted that new investors typically suffer losses in bear markets, with assets changing hands only after about two years, when the “maximum pain” phase is over.

Ju shared a chart showing these “maximum pain” areas, which are crucial to understanding Bitcoin’s market dynamics. He stressed that the current market environment is consistent with a period of relief.

Meanwhile, Ju suggested that Bitcoin could have a potential upside of 30-40%. However, he warned that the exponential growth seen when Bitcoin surged 3,68% from $16,000 is unlikely to be repeated.

Additionally, Ju stressed that Bitcoin holders should consider taking profits before the next bear market phase arrives.

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Is Bitcoin close to being overbought?

Bitcoin’s weekly technical indicators also provide important insights. According to TradingView, the price is trending close to the upper Bollinger Band level, showing strong bullish momentum. However, when the Bollinger Bands are expanding, it usually means increased volatility, prompting traders to be cautious.

Moreover, the relative strength index (RSI) remains just below 70 at 63, indicating continued upside momentum with no immediate overbought risk. Market participants are now closely watching whether Bitcoin can sustain gains above its key resistance level to decide whether it is a breakout or a short-term correction.

Staking platforms benefit from the rally

Elsewhere, as the price of Bitcoin has surged, activity on staking platforms has risen accordingly. Solv Protocol, a well-known Bitcoin staking platform, has achieved a record of more than $2 billion in total locked value (TVL).

According to DeFiLlama, nearly 30,000 BTC were staked on Solv at the time of reporting, up from 16,340 in mid-October. The rapid growth coincides with Bitcoin’s historic rally, with the platform deploying the asset across ten blockchain networks.

SolvBTC, the key product in Solv Protocol, alone holds over $1.11 billion in value. This highlights the growing preference among Bitcoin holders to stake their coins in search of extra returns amid price volatility.

Disclaimer: This content is for informational purposes only and should not be considered financial advice. The opinions expressed in this article may contain the personal opinions of the author and do not reflect the views of The Crypto Basic. Readers are encouraged to conduct thorough research before making any investment decisions. The Crypto Basic is not responsible for any financial losses.