Analysts at Bloomberg Intelligence believe that rising demand and regulatory clarity in 2022 will allow bitcoin to break out of the $30,000-$60,000 range.
A team of analysts led by Bloomberg senior commodities strategist Mike McGlone argues that bitcoin’s market price readings are indicative of the formation of a bottom price line:
“This means that traders who are used to the $30,000 to $60,000 range may be disappointed when bitcoin starts to rise.”
Analysts recall that since the beginning of 2021, tactically oriented buyers have twice had the opportunity to buy bitcoin at the lower limit and sell at twice the price near the upper limit. However, judging by the data operated by Bloomberg Intelligence, the trend may end. The most likely path for Bitcoin is growth. McGlone’s team says that BTC is likely to find support about 30% below the 52-week moving average, the level of support that Bitcoin reached in January 2022 after last hitting it in 2020.
Bloomberg analysts were hesitant to predict when Bitcoin would reach the $100,000 mark. However, the factors that affect growth are listed:
“These include rising demand and limited supply. As well as clarity with regulation, which should come in 2022. Note that, unlike China, the US is not going to ban cryptocurrencies.”
Stock trader and blogger Justin Bennett also believes that investors looking to buy Bitcoin at $30,000 will be disappointed. According to him, the “bullish trend” continues in the market, and a reversal for bitcoin can only begin with a fall in the dollar index (DXY). Cryptocurrency expert Benjamin Cowen opined last week that a return to the “bullish trend” in the bitcoin market will occur in three to nine weeks if the NASDAQ and S&P 500 stock indices continue to grow. Popular cryptocurrency analyst Willy Woo believes that despite the “high level of fear” in the digital asset market, it is too early to talk about the prevalence of “bear investors”.
Source: Bits
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