Bitcoin, the titan of cryptocurrencies, is voicing its silent resilience as it continues to hold its ground above the critical $29,000 benchmark, despite undergoing a slight 1% dip. The tension in the trading community is palpable, with many keenly anticipating the decision of the US Securities and Exchange Commission on the green light for spot bitcoin ETF applications.
Yet even amidst this tranquillity, sudden jolts of activity are not uncommon. An example of this was the fleeting thrust of Bitcoin up to $30,000, sparked by favourable updates from US Treasuries and the intention of Microstrategy to expand its Bitcoin portfolio. But, like a boat encountering sudden squalls, Bitcoin’s price suffered a downturn following rumor-inspired speculation regarding potential fraud charges against Binance.
As we look towards the future, optimism is not scarce, with projections assuming the majestic digital currency to cross the $100,000 boundary by 2025. Such auspicious prediction stems from the historical growth patterns observed after previous halving events. However, a dollop of realism tempers such enthusiastic forecasts, indicating that Bitcoin may stagger around the $105,000 point within the first year after the halving.
Preparing for the halving scheduled for April 2024, we can’t rule out the prospect of Bitcoin catapulting to even greater heights sparked by diminishing miners’ rewards, increased scarcity, and subsequently triggered price surges. Historical support for this view comes in the form of recorded boosts of 8,069%, 284%, and 559%, within a year post 2012, 2016, and 2020 halvings, respectively.
The narrowing supply of Bitcoin coupled with heightened interest rates amidst a potential surge in demand via a crypto ETF could propel Bitcoin to soar between $140,000 to $180,000 before the 2024 halving, according to Fundstrat Global Advisors.
Although Bitcoin paints a bullish outlook, the innate unpredictability of external influences – such as macroeconomic conditions, can still sway the coin’s price journey ahead, especially following the halving.
A glance at Bitcoin’s four-hour timeline shows a restricted trading range, finding resistance at around $30,000 and support at $29,000. Notwithstanding the current bearish sentiments reflected by RSI and MACD indicators, the prevalent descent in Bitcoin’s price could lead to targets at the $28,700 and $28,200 marks should it slip below the $29,100 level. Let us be vigilant and continue to monitor the digital currency landscape and seize investment opportunities as they emerge.
As always, stay ahead of the curve and keep an eye out for potential entrants among top 15 cryptocurrencies to watch in 2023. It’s an ever-changing game we play in the world of digital assets, so let’s play wisely. But remember, these recommendations are never foolproof, so always do your own research.
Source: Cryptonews
