A slide to $41k or a meteoric rise to $55k? The fate of BTC hangs in the balance. Find out more!
Bitcoin (BTC) crossed $50,000, 2 days ago for the first time since May 15, boasting a recovery of more than 60% after going below $29,000 in July 2021.
At present, however, Bitcoin has slid back to $47k zone, as of August 26. The current market opinion about BTC’s price is divided. Some experts believe this price will go further down to the $41,000–$42,000 range, while others hold the opinion that this is a minor hiccup as the crypto market is still showing major bullish signs and Bitcoin will most likely hit the $55,000 mark within a week.
In this article, we’ll discuss both popular opinions and give you food (or crypto?) for thought on whether BTC will hit $55,000 in a week from now, or continue its unfortunate slide to trigger a bearish trend.
What Does Crypto Greed & Fear Index Say?
The Crypto Greed & Fear Index, a meter that shows the emotions and sentiments of the crypto market currently, stands at 75, which signifies an extreme greed level. This is a fairly high number which shows that big and small players in the crypto market are still betting on the market to go up, which only happens (normally) when Bitcoin follows a bullish trend.
Multiple Small Pullbacks Are Normal
In the past month, Bitcoin saw several small pullbacks, however, it overcame all of them and broke a major resistance of $50,000 for the first time in three months. Although it couldn't maintain its position as the expiration date of Bitcoin futures contract approached, it still kept its neck up above the $46,500 zone.
Bitcoin just might be going through a small pull-back, as market analysts believe the next hurdle for Bitcoin is clearing $51,000 and entering the $50-60k zone, which might be difficult to hold if the buying surge does not push the volume resistance levels. In short, Bitcoin may witness small dips to continue its bullish trend in the next few days.
$41,000 Predictions Are Beginning To Surface
Some crypto analysts are not buying into the bullish trend of the world's largest cryptocurrency, as Bitcoin underwent a correction after hitting a 15-week high of $50,505. Crypto enthusiasts, like Scott Melker, believe that this slide is not a small pullback but rather a drop that may lead Bitcoin to the $40,000-$42,000 zone. However, Scott has asserted that if this pullback happens, it will be healthy for Bitcoin holders as it would lead to a price rebound (possibly over $50,000).
The $100,000 BTC Gang Still Believes
Many Bitcoin enthusiasts still believe that the digital currency has the potential to reach $100,000 by next year. Iqbal Gandham, for example, who is the vice president of payments and transactions at Ledger, told MarketWatch that he sees the next stop for Bitcoin is to pass the $100,000 level as several countries are expected to accept BTC as legal tender. The founder of Lyn Alden Investment Strategy, Lyn Alden believes Bitcoin is still in the early-to-mid stage of its actual long-term trajectory and $100,000 by next year is a possible target for BTC.
These two market leaders along with many others still believe in the existence of the BTC $100k train, which tells us one thing for certain: The trust in Bitcoin has only gone upwards despite the bearish market in the early 2021 and it is possible for Bitcoin to hit $55,000 in a week’s time!
Entry Of Bitcoin Whales To The Crypto Market
The “whale activity” has been directly linked to Bitcoin this year as big whales have been the driving force behind BTC's price. As Bitcoin has recently hit a three-month high, major Bitcoin investors re-entered the crypto market. They are likely to hold the cryptocurrency for a long period with the potential of buying even more, a fact that may take Bitcoin's price to $55,000 and even allow it to break its all-time high, which currently stands at $64,829.14.
Hang On, What About Altcoins?
It is a fact of the cryptocurrency world that the price adjustment in Bitcoin leads to an increase or decrease in the valuation of altcoins. As Bitcoin reached new highs, altcoin holders also enjoyed a lot of profits. Major coins and tokens saw immense growth as crypto users rode the bullish trend of the crypto market for quite some time. Ethereum (ETH), Cardano (ADA), Solana (SOL), Terra (LUNA), and several other cryptocurrencies took a slide as BTC fell below $50,000. However, the good news for altcoin holders is that Bitcoin’s price is poised to slowly re-adjust and move in the upwards direction. It will make room for the altcoins to experience a major surge in the upcoming days.
Final Verdict About Bitcoin’s Current Slide
It is a fact that Bitcoin has shown some signs of weakness, however, the majority of the market analysts believe it to be a short-term hurdle. This opinion, however, has little value, if we consider the volatility of the crypto market. The next few days are going to be critical for deciding whether Bitcoin will reach $55,000 in a week’s time or fall back to the $41,000 zone, as some crypto experts believe. Until then, hold on to your seat folks, it's going to be a bumpy ride.
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