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    Bitcoin’s Rally to $95,000 Fuels Optimism for $100K Milestone Amid Global Economic Discord

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    Bitcoin’s value recovered to $95,000, boosting hopes for it to hit $100K by year end. Despite discord in global economic environments, including France’s increasing debt yields and Russia’s currency falling to an all-time low, Bitcoin ETFs are seeing an inflow suggesting increased market confidence. MicroStrategy is expected to control 4% of Bitcoin supply by 2033, easing concerns about its large premium relative to Bitcoin holdings. The cryptocurrency’s trajectory may also hinge on the US economy and dollar’s response to macroeconomic conditions. Still, institutional interest and strong on-chain data signal Bitcoin could reach new highs.

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    Bitcoin’s value went back up to $95,000 on November 26th after being briefly below $91,000. That’s a 5% increase in just two days. Also, Bitcoin’s price is no longer matching up with US government bonds like last week. This is a good sign for those hoping Bitcoin will reach $100,000 by the end of the year, especially with some of the world’s biggest economies facing some growth hurdles.

    On November 28th, France saw its 10-year government debt yield increase to 3%, a similar rate to Greece’s debt yields. This isn’t the best news for the second-largest economy in the Eurozone, and according to CNBC, it shows serious concerns about the political unrest in France. The French government is having a tough time getting support for its 2025 budget, which aims to trim the budget deficit expected to be more than double the Eurozone’s limit.

    Russia is also dealing with economic challenges, as the country’s currency (the Ruble) dropped to its lowest since March 2022. The country’s leader, Vladimir Putin, shrugged off concerns even as inflation increased to 8.5% in October, CNBC reported. Russia’s Central Bank raised interest rates to 21%, a decision that hasn’t slowed down the persistent price hikes.

    There is some good news in the Bitcoin world though. Bitcoin exchange-traded funds (ETFs) have seen an inflow, turning around a two-day dip on the 27th of November. The bulk of the $103 million net inflow went to Fidelity’s FBTC and Bitwise’s BITB. Also, the Bitcoin miners’ 10-day stretch of decreased flows has ended, per data from Glassnode, with a surge in deposits on miner-controlled addresses. This suggests that miners have more confidence in the market.

    A report from Bernstein Research estimates that MicroStrategy will control 4% of the total Bitcoin supply by the end of 2033. This could smooth over concerns about the company’s large premium relative to its Bitcoin holdings. Currently, the firm has a whopping 331,200 BTC in its treasury and plans to continue its strategy, including issuing debt and stock sales.

    Whether or not Bitcoin reaches $100,000 also depends on the response of the US economy and the dollar to the current macroeconomic conditions. However, strong institutional interest and robust on-chain data suggest that Bitcoin may well reach unprecedented heights.

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