Tether Co-Founder Thinks Bitcoin Could Reach $300,000 Based on Historical Patterns

He shared this insight in an interview with CNBC, discussing the market conditions affecting Bitcoin, especially as the halving approaches.Quigley clarified that his analysis is not a prediction, but a possibility based on historical patterns and current market conditions.

He stated, “Based on historical patterns, it may suggest that Bitcoin exceeds $300,000 at the next bull market peak.”

The next halving of Bitcoin is expected to occur around April 18th, which will halve the Bitcoin mining incentive from 6.25 BTC to 3.125 BTC. this will effectively reduce daily supply from 900 BTC to 450 BTC.Bitcoin Miner

Firmer Fundamentals

Quigley believes that Bitcoin now stands on firmer fundamentals than it did in May 2020, when it was last halved. The emergence of spot bitcoin exchange-traded funds (ETFs) and the surge in derivatives trading volumes mark important milestones in which current market conditions differ from those of the past, he said.

He added that ETFs have been strong and “record-breaking” of late, crossing the $50 billion mark in assets under management. As of March 6, the 10 ETFs held about 740,000 BTC.

The strong performance of the ETFs has pushed Bitcoin closer to all-time high price levels than ever before.

Quigley said the ETFs have led to a major shift in interest in bitcoin among institutional and retail investors. Unlike in the past, when the market was largely dominated by retail investors, there is now a noticeable influx of institutional money tracking Bitcoin.

Sentiment Drives Value

Quigley attributes this shift in sentiment to the volatile nature of this flagship digital asset and its unique position as a globally traded asset based on sentiment, without traditional financial metrics such as company earnings or price-to-earnings ratios.

“Bitcoin may be the only sentiment-based globally traded asset,” he said.Whatsminer Miner

According to Quigley, sentiment-driven investing has unlimited potential and could spark an unprecedented rally that could be the biggest yet.

With the upcoming halving, Quigley expects Bitcoin to continue its historical trend of significant gains following the halving event. He also mentioned that other digital assets, such as Ether and Solana, could rise along with Bitcoin, potentially earning higher gains due to their lower market capitalization.