Bitcoin's $95K-$98K Range Deemed "Attractive" by Analysts Amid Bullish Momentum

Bitcoin remains an appealing investment within the $95,000 to $98,000 price range, according to Bernstein analysts, who project a 12-month price target of $200,000 for the leading cryptocurrency. The bullish outlook comes as Bitcoin continues to attract robust demand and exhibit strong market dynamics.

Bitcoin's Recent Performance and Market Trends

Over the past 30 days, Bitcoin has skyrocketed by 27%, achieving several consecutive all-time highs. After breaching the $100,000 milestone last week, the cryptocurrency experienced a temporary pullback described as a “leverage flush,” as traders recalibrated their positions in response to the new price level.

Analysts highlighted that the dip was driven by increased leverage at the $100,000 mark, which allowed bearish traders to curb speculative excesses.

Institutional Demand and ETF Adoption Drive Growth

The ongoing demand for Bitcoin from exchange-traded funds (ETFs) and corporate treasuries has played a pivotal role in supporting its price. Among corporate adopters, MicroStrategy stands out, holding over 2% of the total Bitcoin supply. The company has raised approximately $7.3 billion through equity and convertible debt to fund its Bitcoin acquisitions—equivalent to about 18% of the cryptocurrency’s market value.

Convertible Debt Market for Bitcoin Expands

The convertible debt market, pioneered by MicroStrategy, is gaining momentum as more Bitcoin-focused companies embrace this funding method. Leading Bitcoin miners such as Riot Platforms (RIOT) and Marathon Digital Holdings (MARA) are following suit.

Last week, Marathon raised $1 billion in convertible debt with a 40% premium and a 0% coupon, while Riot announced a $500 million convertible debt issuance, also aimed at acquiring Bitcoin.

Bernstein analysts noted, “The convertible market for Bitcoin is still in its early stages. Leverage among miners and MicroStrategy remains low, and companies like RIOT and MARA carry minimal to negligible debt. Debt markets, previously inaccessible to Bitcoin-focused firms, are now opening up.”

Healthier Financial Positions Among Miners

The analysts emphasised that many miners burdened with debt during the 2021-2022 market cycle have since exited or re-entered with improved financial stability. Core Scientific was cited as an example of a miner that has rebounded effectively.

Ongoing Buying Pressure Outpaces Supply

With strong ETF demand and increasing participation in the convertible debt market, Bitcoin continues to see consistent buying pressure that outstrips its current supply levels. Analysts believe these factors are solidifying Bitcoin’s status as a high-potential investment over the next six to twelve months.