The cryptocurrency market reached its definitive bottom for the currency cycle, Standard Chartered Analyst Geoffrey Kendrick said in a note on Friday.
The cycle low is now locked in at $59,000 for bitcoin, a 53% drop from its Oct. 6 all-time high of $126,000, according to Kendrick.
“Winter is over. Welcome back to crypto Spring, he said.
CoinDesk data shows bitcoin touched as low as $59,375 on June 5 in the evening, around 18:00 UTC. At the time of writing, bitcoin hovered just shy of $64,000.
Kendrick, who has $4,000 ether and a $100,000 bitcoin price target by the end of this year, identified two core drivers on Friday that support this market turnaround.
First, recent weeks saw some of the sharpest spot bitcoin ETF selling since inception. Total redemptions exceeded $5.72 billion since the second week of May. He also noted that ETF holders have anecdotally been liquidating their positions to free up cash to participate in the SpaceX initial public offering (IPO).
Elon Musk’s SpaceX shares began trading on Nasdaq at around $150 on Friday and are now about 26% above their IPO price.