4 Key Bitcoin Metrics Suggest $80K Price Could Be A Discount

Bitcoin’s price is falling; the digital currency dropped from $87,241 to $81,331 between March 28 and March 31. This drastic drop within such a short time nullified the profits made just before this price drop. However, there are four key metrics to suggest that Bitcoin’s $80k price could be a discount. The drop in Bitcoin’s price liquidated tokens worth $230 million in the bullish BTC futures market. It is thought that the declining momentum in the US stock market, like the fall in the value of the S&P 500 to its lowest levels, has affected the price of Bitcoin, too.

As mentioned before, there are four key metrics that point to the chances of a price rise for Bitcoin in the coming days. These metrics show the potential signs of strong investor confidence in this digital asset that may result in the price of Bitcoin rising despite this temporary downfall. 

Long-Term Investors Will Be Untouched

The current drop in price is just momentary and will not affect the long-term Bitcoin investors. Firstly, Bitcoin’s mining hash rate has reached an all-time high. Mining hash rate refers to the amount of computational power used in mining a cryptocurrency like Bitcoin, indicating how many calculations miners can perform per second. The current mining hash rate of Bitcoin is 774.72M (774.72 million) TH/s (terahashes per second). The 7-day hash rate reached a peak of 856.2 million TH/s on March 28. It was only 798.8 million in February. 

Secondly, the 7-day average of net transfers from miners to exchanges on March 30 stood at BTC 125, which is much lower than the BTC 450 mined per day. That means even though 450 Bitcoins are mined per day, only 125 Bitcoins reached the market through the exchanges during the given time. This metric is a ray of hope for long-term investors as rest assured, the price of Bitcoin will not be affected by supply inflation in the market. 

Thirdly, Bitcoin miner MARA Holdings has announced its plan to sell stocks worth $2 billion to purchase more Bitcoins. This move assures investors about the persisting demand for bitcoins in the market despite the momentary price drop. Moreover, if MARA Holdings purchases such a high number of Bitcoins, the price of Bitcoins will automatically rise due to the increasing demand. 

The fourth and final metric that assures Bitcoin investors amidst the current price drop is near-zero net outflows in US spot Bitcoin exchange-traded funds (ETFs) between March 27 and March 28. In fact, the seven-day net inflow streak drew in a total of $860.6 million as of March 25, raising the cumulative total net inflow of spot Bitcoin funds to $36.13 billion. This development was key to concluding that the macroeconomic conditions are becoming better, thus driving more institutional investors to invest in Bitcoin. 

In short, the increasing investor confidence in Bitcoin as indicated by the above metrics, strongly suggests that the current price drop is nothing to become concerned about. Bitcoin’s price is predicted to rise to $86,723.63 in 2026, $91,059.81 in 2027, $95,612.81 in 2028, and $105,413.12 in 2030. 

Also read: About The Lighting Network: Bitcoin’s Layer 2 Solution

The Bottom Line

The 4 key metrics mentioned in this article provide hope to investors who are disturbed by the current downfall of these digital assets. Despite the price volatility and the corresponding issues, Bitcoin will continue to fare as the top digital currency. Despite concerns over scalability, security, and decentralization, the fondness of investors in Bitcoin is not dwindling. If the blockchain takes timely measures to address the issues related to Bitcoin, it will remain relevant in the coming years, too.