Grayscale Gives Bitcoin Green Light After Confirming Cycle Bottom

Grayscale's Head of Research Zach Pandl told clients that Bitcoin's $58,000 June low was the cycle bottom. He believes all three conditions for allocating assets are now clear: long-term structural trend, market cycle stage, and macroeconomic backdrop. The firm is now giving a 'green light' to allocate to Bitcoin.

Pandl echoed Coinbase CEO Brian Armstrong's view that Bitcoin has bottomed for the current cycle. He expects an upward trend heading into the next halving. Grayscale uses a three-part framework before advising clients to allocate, which all three conditions have met according to Pandl.

The firm is also watching Zcash, which occupies an underexplored design space that Bitcoin lacks: privacy. Pandl believes investors can express their views on financial and personal privacy through Zcash as AI grows more powerful and personal data becomes more exposed.