According to a trader known as there is a belief that acquiring #bitcoin at a price below $30,000 may provide favourable outcomes. The dealer anticipates that prices will not only go towards the highest levels recorded in 2021, around $69,000, but even surpass the $100,000 mark in the upcoming trading sessions. According to the perspective of this trader, Bitcoin is seen to be undervalued when priced below $30,000. Is it the opportune moment to increase one's Bitcoin holdings?
While the analyst refrained from providing specific timeframes, they emphasised that the overall strategy remained same. They acknowledged that the process of departing the market when the value of BTC surpasses $100,000, a nearly fourfold increase based on current spot rates, will provide a significant psychological challenge. The exact entry price at which the analyst made their investment is not readily apparent.
In response to a tweet, opined that it is not advisable to engage in purchasing activities within the price range of $30,000 to around $70,000, as such actions would just contribute to an elevation in the overall average "entry-level." The aforementioned approach was put out by an individual identified as X, who expressed a preference for employing dollar cost averaging (DCA) with a reduced amount of capital.
Dollar-cost averaging (DCA) is a strategy employed by investors to mitigate the impact of market volatility and lower the average purchase price of a certain asset via regular and consistent investments. This technique has the potential to yield positive outcomes for those that choose a long-term investment strategy, such as HODLers, as exemplified by . Additionally, it can also be advantageous for traders who lack the ability to accurately predict market fluctuations.
Is it likely that the value of Bitcoin will surpass the $30,000 threshold?
However, the future trajectory of Bitcoin's recovery from its current spot prices, with the potential to surpass the $30,000 mark and reach the highs observed in July 2023, remains uncertain and can only be determined through time. Upon analysing the price charts, it can be observed that there exists a potential opportunity for bullish market conditions, particularly within the short to medium-term timeframe.
The prices exhibit a state of constraint, persistently trading at levels beyond the primary support of $25,200, while encountering resistance within the range of $28,000 to $30,000. Additionally, it is seen that trading volumes are somewhat reduced, indicating a general decrease in activity, as most players in the market are not inclined to actively participate at current spot values.
However, it is worth noting that if the price above the $32,000 mark, it may potentially stimulate market activity and propel prices beyond the previous record high. This would be seen as a favourable trend continuing development in the first half of 2023. Upon examination of the weekly chart, it is evident that prices have predominantly exhibited a consolidating pattern since June 2023, fluctuating between the range of $32,000 as the upper limit and $25,000 as the lower limit.
The former Chief Executive Officer (CEO) of BitMEX has expressed the belief that Bitcoin (BTC) would see a significant surge, reaching a valuation of $750,000.
According to Arthur Hayes, a co-founder and former CEO of BitMEX, it is his belief that the value of BTC will see a significant surge, reaching about $750,000 to $1 million by the year 2026.
According to the author's perspective, the forthcoming Bitcoin halving event, which entails a reduction in incentives allocated to miners, together with the probable endorsement of a Bitcoin exchange-traded fund (ETF) by the Securities and Exchange Commission (SEC), are anticipated to serve as the main catalysts for increased demand. The miner payouts for Bitcoin are expected to undergo a halving event around the year 2024.
The Securities and Exchange Commission (SEC) has exhibited reluctance in granting approval for a Bitcoin exchange-traded fund (ETF), despite the existence of this intricate financial instrument in other regions like as Canada and Europe.