Bitcoin has had an extremely strong 2023, enjoying a remarkable turnaround that some analysts believe could signal the end of the crypto winter ahead of the Bitcoin halving in mid-2024.
BTC’s price momentum has taken a sudden turn in recent weeks, leaving many traders wondering what comes next for the world’s largest cryptocurrency.
In our Bitcoin price prediction, we’ll take a closer look at BTC’s prospects from 2023 to 2030. Read on to find out where the price of Bitcoin could be headed next.
Bitcoin Price History
#Bitcoin2024 was the first cryptocurrency, created by pseudonymous creator Satoshi Nakamoto in 2009. At the time, it was also the first use of blockchain technology.
Bitcoin was largely worthless during the first several years of its existence, but started to gain traction from 2013 to 2015. In 2017, the first Bitcoin boom saw the price of BTC rise to more than $15,000. Subsequent booms in 2019 and 2021 saw BTC hit new record highs.
In 2021, Bitcoin hit its all-time high of $68,789.63. However, it fell as low as $15,760 in December 2022 in the midst of the so-called “crypto winter”, that had been affected by numerous macroeconomic factors such as rising inflation, the Russia-Ukraine War and energy crisis, the collapse of Terra and FTX and so on.
Starting in January 2023, BTC staged a turnaround. The coin gained 83% by April 10, when it hit a high of $31,035. This price also represented a break above a key resistance level around $30,000.
Between April and the end of July, Bitcoin traded at around $30k, almost touching $32k with positive sentiment amid a wave of spot Bitcoin ETFs being applied for from the likes of BlackRock and Fidelity.
However, on August 16 and 17, BTC suffered a sharp drop, moving from $29k to $26k – a two-month low – in around 12 hours. In fact, the coin suffered its biggest one-day drop (-7.2%) since November 2022, with some attributing a Wall Street Journal report that Elon Musk’s SpaceX sold its Bitcoin holdings.
Another drop then followed in mid-September – although the $25k resistance line was not broken. October has seen the price trade between $26k and $29.5k. It has also flirted with $30k on one occasion in mid-October thanks to a false report of an approve Bitcoin ETF. Despite all this, Bitcoin is trading 25% up from the beginning of October.
November has seen more strong trading action, with more positive news relating to Bitcoin and Ether spot ETFs, which appear to be close to being approved – Bitcoin broke $37k before meeting heavy resistance at $38k. The Bitcoin Fear & Greed Index is currently at 74, indicating Greed, while the Relative Strength Index (RSI) is in the Neutral zone.
Here are some of the key events in Bitcoin’s price action:
Bitcoin hit an all-time high of $68,789.63 in 2021, then fell to a low of $15,760 in 2022.
BTC started 2023 with an 83% gain to reach a high of $31,035.
Bitcoin fell 7.2% in one day in mid-August, as the price plummeted from $29k to $26k in less than 24 hours.
BTC further dipped in early September, touching $25k but not breaking resistance.
In October, BTC traded between $26k and $29k before breaking above $30k toward the end of the month.
Has performed strongly in November, up 22% in the last month, with positive developments around spot Bitcoin and Ether ETFs. BTC has broken $37k but has met heavy resistance at $38k.
Bitcoin Price Prediction 2023
This year has proven to be a break out year for BTC after around 18 months of difficulty. At the time of writing, Bitcoin is up 119% on the price in January, and has touched $38k three times in the last month – a strong end to the year could even see Bitcoin reaching $40,000.
Institutional investors have flocked to BTC as an inflation-proof asset, similar to gold, with Bitcoin spot ETFs one of the main issues in the financial market, and positive sentiment that they should be approved by the SEC in the coming months.
After a strong first two quarters, Bitcoin’s momentum stalled and then suffered a dramatic collapse in mid-August, with the catalyst believed to be SpaceX selling off their BTC holdings. Inflation cooled down while interest rates remained high, encouraging investors to switch from holding BTC to holding treasury bills. Increasing scrutiny of the crypto market by regulators spooked many institutional investors, who have reduced their holdings in digital assets.
However, momentum recovered in October and November and retail interest has since followed institutional investment – at the time of writing, the Bitcoin’s Fear and Greed Index is at 74, indicating a market sentiment of Greed. The Index plummeted as low as the mid-30s in August and September, but that is no longer the case. The Relative Strength Index is also in the Neutral zone.
Continued optimism surrounding spot Bitcoin ETFs, and the approaching halving, should see BTC continue to enjoy momentum into the final weeks of the year – a best-case scenario would see the price test $40,000, or even above, although there is some analyst sentiment that BTC is due for a major correction soon.
In a worst-case scenario for Bitcoin investors, BTC could test its support at $25,000.
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Bitcoin Price Prediction 2024
By the end of 2023, we expect the Bitcoin price to have stabilized around a support level, likely near $35,000. This level could provide a launching point for Bitcoin to explode in price in the next 12 months.
The macroeconomic picture for Bitcoin is expected to improve in 2024 – the US Federal Reserve is widely expected to cut interest rates in 2024, which would take pressure off the crypto market and encourage investment flows into BTC.
At the same time, draft legislation that would create regulatory clarity for crypto investments in the US could reduce uncertainty for investors. While Bitcoin is regulated as a commodity in the US, more defined rules could encourage new investors to jump into crypto and hold Bitcoin.
As outlined above, there is growing confidence that the US SEC will approve multiple applications for spot Bitcoin ETFs, with major asset managers such as Fidelity, WisdomTree, and BlackRock among those that could offer the service as soon as January.
Not only would the ETFs open up trillions of dollars of assets under management from those firms, it would signify something of a seal of approval in Bitcoin from a major US government body.
There is also an altogether bigger shadow looming over Bitcoin’s future in 2024 and that is the Bitcoin Halving event – with some analysts believing next year could see BTC break new all-time highs and perhaps even six figures.
What is a Bitcoin Halving?
New Bitcoin is created with each new block, and it is given to the miner as a reward for creating that block. This currently stands at 6.25 Bitcoin. So, every 10 minutes a block is created and the miner who created it receives 6.25 newly minted Bitcoin.
Every 210,000 blocks, approximately every four years, this reward amount is halved. This event is called the Bitcoin Halving. This time around, the reward for creating a Bitcoin block will be cut from 6.25 to 3.125.
This is predicted to take place on April 24th. We say predicted because the exact time is determined by the block number, and blocks are produced approximately every 10 minutes—so it is difficult to predict the exact time of the Halving until we are very close, but we can predict the day quite closely.
Why Have a Bitcoin Halving?
Bitcoin, much like gold and other precious metals, has a finite supply. There can only ever be a maximum of 21 million Bitcoins, and there are currently ~19.52m in circulation. The value of a Bitcoin, as with other assets, is determined by supply and demand.
Controlling the releases of the yet-to-be-mined coins helps to balance the supply and demand, as the demand increases over time. Three elements can be said to be at play with the Bitcoin Halving mechanism:
Avoids high levels of inflation by steadily reducing the quantity of new Bitcoins released over time.
Makes Bitcoin more scarce as time continues, because eventually, all the Bitcoin in existence will be in existence. This preserves its long-term value and further protects against inflation, a problem seen with fiat currencies throughout the world.
Maintains a supply of rewards, i.e., incentives, for miners to continue operating over a much longer period. Until around 2140.
Bitcoin Halving events will continue to happen approximately every four years until the last of Bitcoin’s maximum supply of 21 million has been mined. It’s estimated that all available BTC will be mined by 2140.
With Bitcoin Halving events comes the expectation of the beginning of a long-awaited crypto bull market. As you can see from the chart below, each Bitcoin Halving event in the past has been followed by considerable upward momentum in the price of Bitcoin:
Before the first Halving in 2012, Bitcoin saw a 50% increase in price. In the 18 months after the second Halving, in 2016, Bitcoin saw a 3,000% increase in price, almost touching $20k for the first time. Despite a global pandemic, after the third Halving, in May 2020, Bitcoin rallied to a peak of $64,898 within a year and hit its ATH $68,789 within 7 months of that.
While the current price of Bitcoin, $28,455 is well below (58.6%) this ATH, these previous movements give us a window into what might happen with the Bitcoin price in 2024.
However, unlike before, when Bitcoin Halving events have had a large price impact in the months afterward, we expect that some of these gains are already priced into the market, and investors will be wary of the big swings that have happened previously in Bitcoin’s price.
That all being said, we do expect Bitcoin to hit an ATH as a result of both the Halving event and the macroeconomic factors mentioned previously, if they occur as expected.
We predict that Bitcoin will hit a high of $98,000 in 2024, falling short of the powerful psychological marker of $100k. This all means that the low for Bitcoin in 2024 is expected to be early in the year, and we predict Bitcoin’s 2024 low will be $21,500, the support level mentioned earlier. As for an average price, we expect Bitcoin to consolidate around previous ATHs during the year, and predict that Bitcoin’s average price for 2024 will be $65,000.
Bitcoin Price Forecast 2025
The effects of the Bitcoin Halving event will continue well into 2025, and, if everything aligns, Bitcoin has the potential to break that elusive $100k barrier. But what is “everything else”?
“Everything else” includes the macroeconomic factors alluded to at the beginning of our 2024 prediction. If the global economy is fairing well and inflation remains low, then interest rates could come down further. Greater regulation of crypto altcoins could also lead more investors to be confident investing in crypto for the first time, and many of these investors are likely to want to hold some Bitcoin.
Furthermore, greater regulation of the crypto market could see institutional funds, such as retirement funds, open up investment into Bitcoin. This could potentially unlock trillions of dollars in retirement funds that are currently disallowed from investing in Bitcoin. Currently, Fidelity is the only major US 401(k) plan provider to offer Bitcoin investment.
There is, however, the previously unmentioned downturn that occurs after all the Bitcoin Halving events. Within a year of the highs seen as a result of the Bitcoin Halving events the Bitcoin price has typically halved, and has, on both the last Halving events wipped out 75% of its gains within two years of the halving happening.
But, it is hoped that 2025 will bring regulatory certainty to a market that has yet to receive any until now, and greater economic certainty to the global economy.
If we combine all these factors we can predict that Bitcoin will find lows of $30,000 in 2025, highs of $80,000, as it tries to attain or maintain the highs it achieved in 2024, and have an average price of $50,000.
2030 Bitcoin Price Prediction
Looking ahead to 2030, our Bitcoin price forecast becomes less certain. There is a lot that can happen in 7 years, particularly in an industry as fast-moving as crypto. Seven years ago, Bitcoin was priced around $600.
That said, we expect Bitcoin’s value to continue to grow. It could benefit from the introduction of Central Bank Digital Currencies (CBDCs), which should encourage a broader transition to payments using digital assets.
By 2030, Bitcoin will have gone through another Halving event, in 2028, and this will affect price predictions for 2030, as well as the availability of Bitcoins—especially as we expect them to increase in popularity by this time.
As stated, it is difficult to predict what will happen with Bitcoin environment due to newness of cryptocurrencies and the ever evolving landscape. That being said, our 2030 Bitcoin price prediction expects the price to have steadied somewhat, with a low of $95,000, a high of $120,000, and an average price of $110,000.
Potential Highs & Lows of Bitcoin Price
A lot of Bitcoin’s future value depends on factors outside the control of the crypto industry. For example, Bitcoin is more heavily impacted by interest rates and inflation than by the regulatory processes that loom over the rest of the crypto market.
As a result, it’s difficult to know what will happen especially as we look further into the future. We predict these highs and lows for Bitcoin in the years ahead:
What Do Other Analysts Predict for Bitcoin?
Bitcoin is a major global asset, and some of the smartest analysts in the world spend their days thinking about where this cryptocurrency could go next. Here are several diverse predictions from crypto analysts and institutional investment firms.
CoinCodex: $427,000 by 2025
Cryptocurrency data firm CoinCodex developed Bitcoin Rainbow Chart which predicts Bitcoin price to reach up to $427,000 by the end of 2025. The analysis is based on Bitcoin’s past volatility and cyclical nature of Bitcoin Halving events, which introduce extra supply-side pressure on Bitcoin every four years.
TechDev_52: $160,000-$180,000 by December 2023
Crypto analyst TechDev_52 analyzed Bitcoin’s highs as a series of cycles on a logarithmic timescale. According to this unique analysis method, the next cycle should culminate in a peak in December 2023 in the range of $160,000-$180,000
ARKInvest: $1 million by 2030
According to ARKInvest analyst Yassine Elmandjra, Bitcoin could reach a price of $1 million by 2030. This analysis is based on the idea that Bitcoin is still an immature market that will realize many new use cases over the next several years.
Mike McGlone, Bloomberg Intelligence: $100,000 by 2030
Mike McGlone, senior commodity analyst at Bloomberg Intelligence, told crypto brokerage Capital.com that Bitcoin could reach $100,000 by 2030. McGlone sees rising demand combining with BTC scarcity to send the price of Bitcoin higher.
Cezary Graf: $2,700 upon collapse of Tether or Binance
Crypto analyst Cezary Graf sees significant risks ahead for Bitcoin. He predicted that if either Tether, the largest stablecoin, or Binance, the largest crypto exchange, were to collapse, then Bitcoin could fall as low as $2,700.
Charles Edwards, Capriole Investments: $100,000 in 2023-2024
Charles Edwards, a crypto analyst and founder of Capriole Investments, predicts that Bitcoin could reach $100,000 in the next 12 months. His prediction is based on what he calls a “bump and run” pattern on the Bitcoin price chart, which is a bullish pattern that only requires Bitcoin to remain above $22,000.
What Is Bitcoin & What’s It Used For?
Bitcoin is the world’s first cryptocurrency and the largest by market cap. It uses a proof-of-work algorithm to validate transactions in a global peer-to-peer network. Bitcoin is one of only a few cryptocurrencies that regulators in the US and around the world consider to be fully decentralized.
Bitcoin is primarily used for payments. It can be used to send money from one individual to another or to pay for goods and services online and at the point of sales in a growing number of brick-and-mortar stores. A growing number of businesses around the world now accept Bitcoin for payment. It’s also used to send money across borders without traditional foreign transaction or currency conversion fees.
Transactions are validated and new Bitcoin is created through a process known as mining. Bitcoin mining is a lucrative industry around the world and there are many publicly traded Bitcoin mining companies.
Bitcoin has also recently been used to create NFTs through a project known as Bitcoin Ordinals.
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