Bitcoin Cowboy: "bitcoin isn't a quick rich scheme, it's a no go poor scheme".
New data shows Bitcoin’s (BTC) current price action is showing higher levels of ‘HODLing’ activity than previous bull cycles.
The revolution just started. Hence, it was for real revolutionary for the financial markets, Bitcoin and other cryptocurrencies became mainstream. Like any other cryptocurrency, Bitcoin can be exchanged or used to buy products and services. The ticker symbol BTC is now found everywhere, in all news around the globe.
What will happen to the Bitcoin in the future? Does Bitcoin have a future at all? And what will Bitcoin be worth in 2020 and beyond? Sure, holders of cryptocurrencies are always looking for price predictions.
I'd like to talk about the giant of the financial crypto market in detail. The future of the cryptocurrency that made the FIAT financial markets and the banks shake. Do you own Bitcoin already? Or maybe you’re just thought about to invest into bitcoin? How about any other cryptocurrency? A new, comprehensive analysis has predicted the price of bitcoin to reach almost $20K this year and will keep rising to almost $400K by 2030. The researchers have also predicted the future prices of several other major cryptocurrencies, including bitcoin cash, ethereum, and litecoin. Never mind. Read all about the current status and future pricing predictions. First, let’s start with the latest news around Bitcoins, what we can learn from it for the future. Bitcoin can be exchanged or used to buy products and services. The ticker symbol BTC is now found everywhere, in all news around the globe.
Cryptocurrency Prices by Coinlib
BITCOIN PRICE CHART
The Bitcoin price chart is still very volatile in 2020. The financial market for cryptocurrencies works a bit different than any other. Let’s look back! November 20th 2015, the Bitcoin (BTC) got indexed as other stocks. From the very first day constantly growing. We remember the days when one Bitcoin was worth 327.00 USD. Finally reached its highest peak in December the 15th, 2017. The BTC value was 19’650.01 US$. Wow! The market and even professional investors went crazy.
December 2018, the Bitcoin price chart dropped significantly. Many people lost 85% or even more of their capital invested into Bitcoins. We remember the bottom 1 BTC worth a bit more than $3,000.
June 2019, the heat was on again. The Bitcoin price chart raised up to another mountain peak. The renewed rise has surprised all sceptic. But at $11,865 the zenith was reached again. Since then, the Bitcoin price had leveled around $7 to $8k.
February 2020, the rally seems to start again. The Bitcoin price chart showing us continuous growth over $10,300.
There are so much prediction all over this talk, but would like to considered Willy woo siting.
According to on-chain analyst Willy Woo, an indicator called “reflexivity” has been increasing in recent months. Woo explained that the indicator measures Bitcoin investors' tendency to hold onto their BTC as its price rises. It’s essentially an alternative way to gauge the HODLing activity of retail investors.
Bitcoin market cap gain per dollar invested or reflexivity. Source: Willy Woo
This next bull run may eclipse the previous cycle
There are several reasons why retail investors might be holding onto their BTC even more so than in previous bull cycles.
If Bitcoin rallies in 2021, most investors would see it as a post-halving bull rally. Historically, BTC has rallied 12 to 15 months after each halving, recording a new all-time high each time. Based on the tendency of BTC to rally after a halving, retail investors might be holding as a strategy to avoid being priced out if a strong sustained rally begins.
Bitcoin has also shown a surprising level of resilience throughout multiple potential black swan events. After its initial recovery from the pandemic-induced crash in March, it has stayed above $10,000 despite numerous negative events.
Most recently, the price of Bitcoin slumped after the U.S. Commodities and Futures Trading Commission (CFTC) charged BitMEX with violating the Bank Secrecy Act.
After the CFTC announcement BTC price fell below $10,500 but it quickly recovered to the $10,700 support level. According to Woo, this is possibly due to the confluence of the two key factors. Woo explained:
“This [reflexivity] is the tendency of HODLers to hold onto their coins harder as price increases. I had expected reflexivity to increase during the mania phase of BULL markets, but it looks quite constant from the last two cycles… This cycle is interesting; reflexivity is increasing rather than static compared to last cycles. While we now need more capital invested to get similar % gains in price, the effect of HODLers holding onto coins tighter is magnifying ‘number go up’ per dollar invested.”
Heading into the fourth quarter, industry executives believe the U.S. presidential election could benefit Bitcoin and the positive HODLing data could further buoy BTC price.
The U.S. presidential election and Q4 may push BTC price higher
Industry executives and prominent investors in the cryptocurrency industry foresee the upcoming presidential election in November benefiting Bitcoin.
Su Zhu, the CEO of Three Arrows Capital, said a Democratic sweep would catalyze Bitcoin due to various macro factors.He also suggested that a second term for Trump could also benefit Bitcoin. He wrote:
“Biden is extremely bullish for BTC because democrat blue wave could usher in unprecedented installation of MMT agenda w/ corresponding dollar weakness and deficits. With that said Trump is also bullish.”
As Cointelegraph reported earlier this week, traders including Peter Brandt believe higher time frame charts point to a strong uptrend for Bitcoin. The combination of favorable technicals, strengthening fundamentals, and rising HODLing activity could buoy a BTC bull run in 2021.
source link : https://cointelegraph.com/news/more-investors-hodl-bitcoin-in-anticipation-of-a-2021-btc-bull-market
