How High Can Bitcoin Go?
Heeding the words by the team at Weiss Crypto Ratings, Bitcoin (BTC) is due for some sort of correction or consolidation based on the impressive move from $11,500 levels on Monday, October 19th, to its current value of $13,000. Additionally, earlier today, Bitcoin set a 2020 high of $13,267 – Binance rate – which is a 15.3% move in less than a week.
For Bitcoin to continue with its momentum and possibly retest its 2019 peak value of $14,000, it needs to cool down for a few hours or days. If Bitcoin eventually breaks and holds $14k, it would open the doors to $17k or even $20k in the next few weeks or in the first or second quarter of 2021.
As with all analyses of Bitcoin, investors are advised to have adequate stop losses and practice the habit of profit-taking whilst still ahead. Additionally, low leverage is advised when trading BTC on the various derivatives platforms.
- The team at Weiss Crypto Ratings has pointed out that Bitcoin seems to be decoupling from the stock market
- This comes after Bitcoin broke both $12k and $13k in quick succession as the stock markets were stagnant
- The comments by Weiss echo those of Veteran BTC analyst, Willy Woo, who was of the same opinion back in September
- Bitcoin can very much break $14k if its current momentum is maintained
In a recent Tweet, the team at Weiss Crypto Ratings pointed out that Bitcoin (BTC) seems to be decoupling from the stock market. Their observation is as a result of Bitcoin breaking the $12k and $13k price ceiling in quick succession fueled by the news of PayPal introducing crypto services to its users.
Below is the tweet from Weiss Ratings that also cautions Bitcoin traders and investors that there is a slight chance that BTC could lose steam.
#BTC seems to be decoupling from stocks with a parabolic rise in recent days. Let’s hope it doesn’t lose steam.#Bitcoin #crypto
— Weiss Crypto Ratings (@WeissCrypto) October 21, 2020
BTC Analyst Willy Woo had Predicted the Decoupling
The current decoupling of Bitcoin from the traditional markets was predicted by veteran Bitcoin analyst Willy Woo in a September 25th tweet that stated the following.
Bitcoin will decouple from traditional markets soon, but driven by its internal adoption s-curve (think startup style growth) rather than changes in perceptions as a hedging instrument by traditional investors. Fundamentals of user adoption have already broken all-time highs.
Mr. Woo reiterated his analysis further in a follow-up tweet a day later providing on-chain data to back up his prediction. Below is his tweet and accompanying chart that shows an increase in Bitcoin users that will fuel the decoupling.
If you want to see data behind the upcoming decoupling of BTC from the stock markets powered by BTC’s internal adoption, here’s some @glassnode data. This is the active users of BTC after filtering for unique players (ignores multi wallet addresses belong to one entity). https://t.co/FvGWUUlSc8 pic.twitter.com/gEweb9vYOY
— Willy Woo (@woonomic) September 26, 2020