Bitcoin’s price defies predictions as bulls take control once again
Bitcoin’s weekly gains have soared over the 25% mark.
- Bitcoin’s ongoing rally has helped spur the total market capitalization of the crypto sector to $2.3 trillion.
- Experts believe that for Bitcoin (BTC) to reclaim its all-time-high levels, the digital currency needs to break past the $56K resistance cleanly.
- Bitcoin’s long-term price projection still suggests that the cryptocurrency could scale up to $321K by 2022’s end.
The adage that “there’s never a dull day in crypto” was on full display over the last 48 hours. Bitcoin, the world’s largest cryptocurrency by total market capitalization, scaled up to a relative high of $52K. At press time, BTC is trading for $54,519.
With bulls seemingly back in control of Bitcoin’s price action, a number of analysts have been calling for the flagship crypto to sustain its ongoing price action – above the all-important $50,000 threshold. Crypto pundit Michaël van de Poppe recently stated that it is only a matter of time before we see even more upward momentum given that no sudden adverse macro events are witnessed.
Pseudonymous digital currency expert Rekt Capital opined that for over 4 months running, BTC has been seeing strong buyer support – even though the market at large may have faced a lot of volatility. He further noted: “Following BTC’s fantastic breakout move yesterday… Investors are no longer fearful toward Bitcoin. Extreme Fear precedes financial opportunity.”
Market sentiment is turning “green”
Since September 29, Bitcoin’s value has surged from $40,000, representing a gain of 26.8%. As a result, a growing number of traders are hopeful that a near-term rally may help see the flagship crypto reach a price target of around $100K by 2021’s end.
That said, David Lifchitz, managing partner and chief investment officer at ExoAlpha, believes that the 10% hike witnessed earlier this month was somewhat of a “short-squeeze.” For Bitcoin to get back on track to reclaiming its previous all-time-high value, the cryptocurrency needs to break past the $55K resistance zone cleanly. He opined:
“At this point, there are two possibilities — either bulls get back in the game, push BTC above $55,000 and we can expect a reach toward the $64,000 all-time high soon after, or they remain skeptical… at which point BTC could just go back in the middle of its 5-month-old $40,000-$50,000 range.”
Long-term projects remain solid as ever
In terms of where the market may be headed over the next year or so, pseudonymous Twitter analyst/investor Pentoshi pointed out that as per BTC’s multi-year trading range data, the cryptocurrency may be looking at a price target of over $320K sometime during 2022. Therefore, it will be interesting to see how things play out for the market over the coming few months.
Disclosure: The author owns a range of cryptocurrencies at the time of writing