06.12.2021

Rates of Bitcoin and other cryptocurrencies at the peak of market growth

The rapid Bitcoin crash this week was not a signal for the start of a new bearish trend, that is, a protracted phase of the coin market crash. This opinion is shared by experts from the British financial company Standard Chartered.

In their opinion, the profitability of the most popular cryptocurrencies will still have time to greatly surprise both traders and investors. According to the forecast of analysts of the organization, the main cryptocurrency may well grow to $ 100 thousand by the end of 2021 or the beginning of 2022.

We’ve checked the actual data: Bitcoin looks relatively good this morning considering the recent crash. The cryptocurrency has previously stabilized and is moving within a narrow price channel. Overall, BTC is close to the $ 46,000 mark.

15 minute Bitcoin chart

Against the background of the relative stability of BTC, altcoins began to wake up little by little. In particular, Solana set a new price record this morning, surpassing the $ 200 mark for the first time. The current peak of the rate is $ 216, as a result of which SOL overtook XRP in the ranking of all cryptocurrencies by market capitalization and climbed into sixth position.

Solana 15 minute chart

At the same time, MINA actually jumped almost twice in two days, if we take into account the lower price limit. At the same time, its growth amounted to 35 percent per day.

MINA Hourly Chart

The experts also added to the positive situation. They believe the coin market will continue to run its course in the coming months.

What will happen to the price of Bitcoin

The growth of Bitcoin will be accompanied by a general bullish trend in other cryptocurrencies, analysts say. Ethereum should demonstrate great profitability: the most popular altcoin may well take the mark of 35 thousand dollars, experts are sure. Under such conditions, Bitcoin will “jump” up to 175 thousand dollars .

By tradition, we note that any predictions, even from experts, do not have to come true. In this case, analysts only shared their own vision of the state of the market over the coming months, taking into account their own tools and information. However, in the end, the market will go exactly where it is going. And forecasts will not stop him.

At the same time, expert predictions have an interesting feature. They can become a so-called self-fulfilling prophecy. That is, investors can open positions in anticipation of market growth to a certain level, since they will count on a similar outcome of events against the backdrop of similar statements by analysts. As a result, purchases will push the price of assets, which ultimately can lead to just the right rates. Therefore, this outcome is also possible, although all trading positions must be opened exclusively after conducting your own market analysis.

Line of 100 thousand dollars on the 1-day chart of Bitcoin

Nick Spanos, co-founder of Zap Protocol, is confident that Tuesday’s crash was “fake,” meaning it should mislead market players. Here’s a quote from him on the subject, posted on Cointelegraph.

Major financiers and media say the crash was fueled by difficult cryptocurrency adoption in El Salvador. I am in this country now and I can tell you that everything is going just fine. There is a president here who looks more like a CEO who loves innovation. He believes in them: he is ready to buy cryptocurrency at a lower price, which is what everyone else should do.

Spanos has no doubts that the price of BTC will definitely hit the six-figure mark soon, while the value of ETH will surpass the $ 10,000 mark. True, their optimism is unlikely to be shared by those traders who lost almost $ 3.7 billion on liquidating their own long positions this Tuesday. The liquidation schedule for one Bitcoin looks like this.

Volumes of liquidated positions by days

As shown by The Block data, 92 percent of long holders were forced to watch the forced closure of their positions. Recall, according to most experts, it was the excessive use of leverage in margin trading that became the main reason for such a sharp reaction in the price of Bitcoin.

Similar corrections have happened in the cryptosphere before, and they will continue to happen. It is important to understand the big picture: Bitcoin is an asset with a limited maximum supply, which in the context of an ever-ballooning global economy with stimulus after the COVID-19 pandemic looks like a very attractive investment for investors of any “caliber”. And in fact, all possible forecasts of experts come down to this.

Apparently, most analysts are really confident in the continued growth of the cryptocurrency market, an intensive new phase of which may occur at the end of 2021. And while Bitcoin does not allow doubting this. Still, the cryptocurrency fell to $ 28 thousand from a record 64 thousand, but has already managed to recover to almost 53 thousand at the beginning of this week. Accordingly, investors still have the strength to move the market up – and the higher it moves, the more people will be willing to join the race. We believe the niche does have the potential to renew its price highs. However, here you have to traditionally be ready for anything.

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