After months of waiting, Bitcoin once again crosses an important psychological threshold. Here’s what could happen in the near future.
In recent days, cryptocurrencies such as Bitcoin and Ethereum have seen a clear recovery in prices, with Bitcoin returning to above the $20,000 valuation level it lost since last August.
Several factors have driven prices higher, including institutional investment and the growing mainstream acceptance of cryptocurrencies as a legitimate form of investment.
What will happen to Bitcoin now? Will Bitcoin reach $30,000 in valuation by 2023?
According to the historical trend of Bitcoin, the long phase of consolidation after the descent, also considering that in recent months we have had to absorb the drops in trust given by scandals, even important ones such as that of Ftx, which risked dragging important realities like Crypto.com behind them, the current one could be a restart phase of the increases destined to stop with new highs, which today would mean staking a $100,000 valuation.
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Bitcoin at $100,000 in 2023?
Is the new record in the $100,000 area achievable as early as 2023? With Bitcoin it is really difficult to predict timing as with its huge volatility in trend phases we have already seen prices multiply or fall by a fraction in very short time frames, often over the course of a single year.
The situation from an indefinite long-term perspective is different where Bitcoin, due to its intrinsic deflationary nature given by the halving-scheme, defined at the birth of Bitcoin and immutable, it will inevitably tend to appreciate gradually reaching new highs provided that there are 2 conditions:
- The possession of Bitcoin does not become illegal and seriously prosecuted in most of the world
- The interest around the technology and the use of BTC as a store of value in digital form due to its programmed scarcity continues to be considered the purpose of choice of Bitcoin
It is therefore possible that this climb, equal to x5 compared to the current prices, occurs during this year, on the other hand another factor that we have not yet considered in this article which is however decisive in defining the speed of the trend rise of Bitcoin is the interest rate of central banks. For the moment, it seems it will not change direction this year, at least according to the announcements of the banks themselves.
Indeed, it is excellent news for Bitcoin holders that prices are rising in a scenario in which interest rates are still rising: when these are cut again rather than increased, we will almost certainly see new flare-ups in the price of Bitcoin as we have now seen different ones in the past. The hint of a recovery in the upward trend of these days, therefore, really bodes well for the future of the cryptocurrency par excellence in the next 12/24 months and, as usual, of the entire sector in tow.
Original article published on Money.it Italy 2023-01-15 14:58:39.
Original title: Bitcoin di nuovo sopra i 20.000$, sarà un 2023 di ripresa per le crypto?
