Tide Capital Foresees $1M Target as Institutions Drive BTC to New Highs

Bitcoin’s
bullish
rally
has
caught
the
attention
of
investors
and
analysts
alike,
with
Tide
Capital
forecasting
a
potential
surge
to
$1
million
as
institutional
inflows
accelerate.
According
to
the
firm,
Bitcoin’s
current
price
action
mirrors
the
strong
growth
seen
in
early
2024,
with
minimal
pullbacks
and
significant
buy-side
support.

 

Institutions
Lead
the
Bitcoin
Charge

Bitcoin
(BTC)
has
kicked
off
a
strong
uptrend,
mirroring
its
performance
in
early
2024,
according
to
Tide
Capital.
Notably,
this
rally
has
shown
minimal
corrections,
with
strong
buy-side
momentum
helping
BTC
recover
quickly
from
minor
dips.

 

The
key
catalyst?
Institutional
players
continue
to
pour
capital
into
Bitcoin.
Net
inflows
into
spot
Bitcoin
ETFs
have
surpassed
$35
billion,
bolstered
by
aggressive
accumulation
from
firms
like
MicroStrategy
and
Marathon
Digital,
which
have
added
billions
of
dollars
worth
of
BTC
to
their
holdings
in
just
weeks.

 

 

Source:
CoinGlass

 

Tide
Capital
highlights
a
broader
trend:
Bitcoin
is
becoming
a
mainstream
asset
allocation
option
for
traditional
finance.
The
BTC/Nasdaq
index
has
broken
out
of
its
downtrend
and
surged
to
new
highs,
benefiting
from
spillover
liquidity
as
U.S.
equity
markets
hit
record
levels.

 

Meanwhile,
Bitcoin
balances
on
exchanges
have
dropped
nearly
20%
in
2024,
falling
from
2.7
million
BTC
to
2.2
million
BTC.
The
shrinking
supply
is
largely
driven
by
institutional
buyers
moving
coins
into
cold
wallets,
further
limiting
liquidity
and
pushing
the
price
floor
higher.

 

 

Source:
CoinGlass

 

“At
this
pace,
$100,000
is
no
longer
an
endpoint
for
Bitcoin,”
Tide
Capital
analysts
note. “Instead,
it
marks
the
start
of
a
path
toward
$1
million.”

 

Altcoin
Season
Ignites
Amid
Surging
USDT
Liquidity

While
Bitcoin
remains
the
center
of
attention,
altcoins
are
starting
to
steal
the
spotlight.
BTC
dominance
(BTC.D)
recently
broke
below
its
120-day
moving
average,
a
key
signal
that
altcoin
season
is
underway,
according
to
Tide
Capital.

 

Many
altcoins
are
primarily
traded
via
USDT,
and
the
sharp
increase
in
USDT
issuance
further
confirms
the
arrival
of
altcoin
season.
Since
November,
billions
of
USDT
have
been
minted
and
transferred
to
exchanges – daily
figures
surpassing
the
March
bull
market
by
over
50%.

 

Source:
TheBlock

 

Meme
Tokens
and
DeFi
Back
in
Focus

Meme
tokens
have
become
a
focal
point
of
attention,
with
major
exchanges
like
Coinbase
and
Robinhood
adding
new
tokens
such
as
PEPE,
FLOKI,
and
TURBO.
The
addition
of
these
tokens
is
expanding
retail
access,
while
also
increasing
institutional
interest
in
more
speculative,
high-volatility
assets.

 

Tide
Capital
believes
that
this
trend
will
continue
as
institutional
investors
grow
more
comfortable
with
altcoins
and
higher-risk
assets.
“We
are
seeing
a
greater
risk
appetite
from
institutional
investors,
with
an
increasing
number
of
them
seeking
exposure
to
more
elastic
crypto
assets,
including
Meme
tokens
and
DeFi
projects,”
said
Tide
Capital
in
the
report.

 

In
parallel,
the
DeFi
sector
is
witnessing
renewed
growth.
Lending
giant
AAVE
has
reached
a
record-breaking
$21
billion
Total
Value
Locked
(TVL),
while
decentralized
exchanges
posted
$300
billion
in
monthly
trading
volume
in
November,
setting
a
new
high.
Tide
Capital
attributes
DeFi’s
resurgence
to
improving
fundamentals
and
growing
investor
confidence
in
the
sector.

 

Healthy
Pullbacks
Set
the
Stage
for
Next
Rally

Despite
the
ongoing
bull
run,
Tide
Capital
cautions
that
the
market
remains
susceptible
to
short-term
volatility.
The
firm
noted
that
significant
leverage
in
the
market
could
lead
to
swift
corrections.
However,
Tide
Capital
believes
that
recent
liquidations,
including
over
$1
billion
in
long
positions
on
December
10,
have
helped
cool
the
overheated
market,
setting
the
stage
for
a
more
sustainable
rally.

 

 

Source:
CoinGlass

 

“The
first
wave
of
altcoin
pullbacks
has
likely
ended,”
said
Tide
Capital.
“With
funding
rates
normalizing,
we
expect
a
healthier
market
structure
that
will
support
further
gains
in
Bitcoin
and
altcoins.”

 

Bitcoin’s
Path
to
$1M
Looks
Increasingly
Likely

As
institutional
inflows
continue
to
drive
Bitcoin’s
price
upward,
Tide
Capital
remains
optimistic
about
Bitcoin’s
long-term
potential.
With
a
tightening
supply
and
growing
adoption
from
traditional
finance,
the
firm
believes
the
$1
million
mark
is
not
just
a
distant
dream
but
a
likely
target
in
the
near
future.

–
end
–

Disclaimer:
This
press
release
may
contain
forward-looking
statements.
Forward-looking
statements
describe
future
expectations,
plans,
results,
or
strategies
(including
product
offerings,
regulatory
plans
and
business
plans)
and
may
change
without
notice.
You
are
cautioned
that
such
statements
are
subject
to
a
multitude
of
risks
and
uncertainties
that
could
cause
future
circumstances,
events,
or
results
to
differ
materially
from
those
projected
in
the
forward-looking
statements,
including
the
risks
that
actual
results
may
differ
materially
from
those
projected
in
the
forward-looking
statements.