Bitcoin reached 100,000 USD as of January 2025, driven by strong market momentum. The Liquidity Inventory Ratio has plummeted to 6.6 months, indicating a significant drop from 41 months, signaling increased demand and limited supply. Bitfinex has noted reduced miner activity, which is leading to tighter sell-side liquidity.

CryptoQuant anticipates a market peak by the first quarter or early second quarter of 2025. Despite the positive forecast, there’s a warning against market overheating. 36% of Bitcoin’s supply was traded last month, showcasing heightened activity but suggesting a peak might be near.

After hitting an all-time HIGH of 108,100 USD in December 2024, Bitcoin experienced a 15% correction. However, it quickly rebounded as sell-side pressures eased. Analysts emphasize Bitcoin’s backed resurgence due to broader macroeconomic trends, though there’s caution over uncertainties in specific sectors like manufacturing and construction.