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Bitcoin Inflation Adjustment Shows Peak Below $100K

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Bitcoin Never Surpassed $100,000 in Real Terms: Galaxy Digital's Alex Thorn
Key Takeaways:
  • Main event, leadership changes, market impact, financial shifts, or expert insights.
  • Bitcoinโ€™s peak adjusted price remains below $100,000.
  • New forecast reflects slower growth in Bitcoinโ€™s maturity era.

Bitcoin, adjusted for inflation to 2020 dollars, has not surpassed $100,000, peaking nominally at $126,000. This reflects a 20% decline in dollar purchasing power, noted by Alex Thorn of Galaxy Digital.

Alex Thorn, Head of Research at Galaxy Digital, acknowledged Bitcoinโ€™s adjusted peak never surpassed $100,000 despite a nominal high of $126,000.

โ€œIf you adjust the price of Bitcoin for inflation using 2020 dollars, BTC never crossed $100,000. It actually topped atโ€ฆโ€ โ€” Alex Thorn, Head of Research, Galaxy Digital, Galaxy Digital Weekly Report.

Alex Thornโ€™s announcement draws attention to Bitcoinโ€™s purchasing power following a decline in the U.S. dollar since 2020. The statement highlights a potential mismatch between nominal prices and actual value.

This analysis considers a 20% decline in U.S. dollar value since 2020.

The statement highlights Bitcoinโ€™s response to inflation, underscoring a $20 billion flash crash and subsequent market reactions impacting price forecasts. The adjusted figure initiated comprehensive market scrutiny across financial circles.

Financial implications of this analysis position Bitcoinโ€™s capacity for true market valuation. Galaxy Digital altered its BTC forecast accordingly, reducing its 2025 target in response to maturing growth rates. Predictions now align with a new high at $120,000.

Analysts point to Bitcoinโ€™s historical trends and inflationary effects on its nominal valuation. The lack of direct correlation with ETH or altcoins emphasizes Bitcoinโ€™s unique market position. Galaxy forecasts a $250,000 price by 2027, contingent upon these insights.

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