Note that Bitcoin has been looking really good lately. In particular, the day before, the cryptocurrency closed the weekly candle above $60,000 for the third time in a row. Accordingly, the coin has consolidated near its all-time high, which is traditionally considered an excellent sign for its prospects.

Bitcoin weekly chart

At the same time, investors continue to withdraw bitcoins from cryptocurrency exchanges, which also hints at their willingness to hold BTC in anticipation of market growth. On top of that, they are clearly not planning to sell the crypto, which creates room for sellers to reduce pressure and increase its value.

As noted by the Kraken platform, bitcoin withdrawals from exchanges have far outpaced deposits over the past three months. And the new record BTC exchange rate of $67,000 has made little difference. Here is the corresponding chart.

Changes in the Bitcoin balance of cryptocurrency exchanges

What will happen to Bitcoin in the future

If you compare all months of trading in the S&P500 stock index since 1985, you can see that November gives investors a median return of around 2 percent – the highest it has been in the aforementioned time frame. In Bitcoin’s history, November has only been a “red” month twice – in 2018 and 2019. Then, the price of the main cryptocurrency collapsed by 36.5 per cent and 17.2 per cent in a month, respectively. However, already in November 2020, the value of BTC had risen by almost 43 per cent.


While past events do not guarantee a repeat in the future, investors are indeed guided by past situations. In addition, the expectation that the coin will rise will cause them to buy crypto for profit, which will also have a good impact on the exchange rate. So in this case, such cycles are essentially a self-fulfilling prophecy.


Bitcoin yields by month

As Cointelegraph journalists point out, the global peak of the current bullish trend may be much higher than many realize. If we compare the previous bull run to the current state of affairs, the “final” price growth target should be at least around $100,000 by the end of this year.

Comparing the BTC price chart to the previous bullish cycle of the cryptocurrency and the growth of the stock market

However, the probability of corrections on the way to the top is not ruled out either. As a reminder, the average Bitcoin price falls by 30-40 percent in each phase of a major correction during the bull run. There have been nearly ten such phases in the past trend, so investors are traditionally advised to be cautious and remember to protect themselves against market surprises.

Experienced traders primarily recommend using stop-losses – that is, orders to the exchange to sell a certain position, or part of it, when the rate drops to a certain level. It is important to note that they also act differently as the market develops. Specifically, in the event of a niche global bull market decline, investors buy cryptocurrencies in stages so that they can buy the coins at a lower price if necessary. The tactics as the market rises are similar: mostly traders get rid of small portions of an open position as the asset reaches certain heights.

That means essentially none of them is waiting for the same Bitcoin to rise to 100 thousand to try to sell all the coins at that rate. Most likely, the sales will take place at notional levels of 65, 75, 82 and 100 thousand dollars per BTC.


We think the bottom line is that the whole premise of Bitcoin's rise is primarily down to what investors are waiting for. However, since they are the driving force behind the market, this kind of attitude can really make them act and thus lead to the realisation of goals. Therefore, there is a chance that the end of this year will indeed be fruitful for the coin market.


Look for even more useful information in our Millionaire Crypto Chat. There we will discuss other important developments affecting the world of blockchain and decentralisation.