There was a positive sentiment surrounding the legal approval of a bitcoin exchange-traded fund among traders, investors and speculators of the world’s most popular digital asset. Bitcoin hovered at a price of $35,000 for about a year and a half.
Regardless of the ongoing b fever, which during the last two weeks resulted in a 30% increase in the value of bitcoin, after the inflation of 2022, the price of bitcoin doubled in the course of 2023. The primary reason is simply that when the supply given by the bitcoin algorithm is limited, the demand of all types of investors: individuals, companies, financial institutions and the states themselves, has increased.
So the question resonates more among crypto investors: can we expect a doubling of the current price to the historical maximum of $70,000 by 2025 at the latest?
m long
Tba bitcoin, i.e. the process in which new bitcoins are created by means of secret systems that combine equations, reduces the total number of unsold bitcoins, which is currently only 7% of the maximum supply.
Wicked optimism
On the demand side, the number of investors who buy and hold bitcoin is growing.
Since the beginning of 2023, the mood of cryptocurrencies has been on the rise until 2022. data from the Crypto Fear & Greed Index from Alternative.mewhich reflects the sentiment in Bitcoin, an aggregation of several key indicators of market performance, at the end of January showed barely 72 points out of 100, i.e. greed.
The last time the index of this scre reached was on November 14, 2021, which was just days after bitcoin reached an all-time high of $69,044. market participants, in particular, watch and hope for the soon approval of the Bitcoin ETF by the regulatory authorities, which will symbolically complete the bridge between traditional and modern finance.
Global search for a search killer buy bitcoin on Google
Source: Google Trends
Data from Google Trends show that the global search for the killer buy bitcoin will take place from the 22nd to the 24th.. she doubled up. It is noteworthy that the cryptocurrency market is strongly influenced by sentiment, as Bitcoin is growing rapidly with few good signs, whether these signs are true or not. Bitcoin traders and investors are optimistic about the growth of Bitcoin, while the media play the role of a catalyst for its rise.
50 thousand dollars in December?
Bitcoin (USD) price change: January 2023 2023 only
Source: TradingView
From a technical point of view, it seems that the idea of reaching the price of $50,000 in December is far-fetched, since impulsive price jumps are usually followed by price corrections of around 10% in the case of bitcoin, and such corrections can last at least a month in the best case.
Ultimately, the upcoming price behavior will be influenced by fundamental market factors, especially the legal approval of the Bitcoin ETF, global economic conditions or other significant events that would affect the market.
Bitcoin has an upward trend and certainly did not disappoint buyers from the beginning of the summer. However, this does not change its strong volatility, and hence the investment risk. Unlike gold, bitcoin exists on the market for only a tiny fraction of the time, and thus the high uncertainty of the prediction is manifested.
In the words of popular cryptanalyst Pentoshi: No one knows what will happen. But it can be said with certainty that permanently limited supply, long-term growing demand and characteristics that traditional currencies and the financial system do not have, do not give bitcoin five prospects.
Ali Daylami
He started his career as a marketing specialist, then turned it into a long-term client in the field of trading on the financial market. He entered the field of market analysis with the aim of penetrating deeper into the understanding of the factor that affects in particular the stock and cryptocurrency markets, which were his strong suit and the main area of interest. After years of moving in the field of fundamental and technical analysis of the market, he became more interested in analyzing data related to cryptocurrencies and researching the prevailing market trends.
BITmarkets
BITmarkets is a global cryptocurrency exchange that advocates for an open cryptocurrency market that is simple, safe and valuable. Through the BITmarkets Academy, she actively developed both entrepreneurs and traders, for which she received one of the many prestigious awards she received during her career. In order to ensure maximum client support and simple, problem-free trading, she offers her clients a seamless customer service line in no less than 15 languages.
More information at http://www.bitmarkets.com/.
