Bitcoin continued its robust upward momentum, hitting highs never before seen. Today, the asset reached a novel all-time high of approximately $93,477. This ATH was recently achieved after falling to $85,000 earlier today.

However, as of this writing, BTC has seen a slight pullback, currently down 0.5% from its high to its current high of $92,544, although still down 5.6% over the past day.

Bitcoin finally at its peak?

With BTC prices surging, market analysts have offered their perspectives on Bitcoin’s potential trajectory. Crazzyblockk, CryptoQuant analyst, addressed questions about whether Bitcoin has reached its peak, assessing market profitability indicators.

According to Crazzyblock, two key metrics are necessary to assess Bitcoin’s profitability: the number of Bitcoin addresses that are currently profitable, and the overall profitability rate for those addresses. The analyst observed that almost all Bitcoin addresses are profitable, indicating increased market risk.

However, he also noted that current profit margins over various holding periods remain below those seen during previous bull markets, such as the growth trends in 2019-2020 and 2021, where profit margins reached 800-900%.

Despite concerns about potential short-term price corrections due to heightened market risk, Crazzyblockk expressed confidence in Bitcoin’s long-term upward trajectory.

He emphasized that strategies such as dollar-cost averaging (DCA) and maintaining a long-term investment approach can benefit capital growth in this environment.

More room for profits?

In a separate one analysisCryptoQuant analyst Avocado Onchain highlighted miners’ activity and its implications for Bitcoin’s price movement. Avocado noted that some Bitcoin miners have already started to reap profits, but that doesn’t necessarily mean that Bitcoin’s overall growth potential is weakening.

He pointed to the Miner Position Index (MPI), which tracks Bitcoin outflows from miners’ wallets relative to the annual average. A high MPI suggests increased mining selling activity, which could signal that Bitcoin’s price may be approaching a cycle high.

So far, the latest data has shown a slight enhance in MPI as Bitcoin hits novel all-time highs. Avocado explained that this could mean early positioning for the next market cycle. By converting the MPI to a 30-day moving average, clearer signals about market cycles emerge.

The analyst identified patterns of miners taking profits around cycle highs, which were often followed by subsequent price increases and ultimately long-term downtrends. Avocado Onchain also highlighted additional data confirming the potential for further Bitcoin price growth.

Hashrate and mining difficulty, key indicators of mining activity and network security, have reached novel levels, reflecting the high participation of miners and the overall health of the network.

This data, combined with continued market interest and increasing liquidity, suggests that Bitcoin’s price could see further growth this cycle, as Avocado’s analysis suggests.

Featured image created with DALL-E, chart from TradingView