What will be the new all-time high for Bitcoin in this bullish trend? Analysts at the Kraken cryptocurrency exchange are confident that the $ 98,000 zone may well become a long-term goal for investors, but after reaching it, a bear market may soon begin. This conclusion was made based on a comparison of the current growth of the cryptocurrency with its dynamics in previous cycles. Let's talk about this important research in more detail.
Note that analysts of the Kraken trading platform regularly comment on what is happening in the coin niche. For example, in September 2021, they shared their conclusions regarding the reasons for the growth of digital assets the day before. As experts then considered, the improvement of the situation in the industry was primarily influenced by the return of Bitcoin miners to cryptocurrency mining. Yet, after the bans by the Chinese government, many owners of computing equipment massively disconnected from the network and began to look for other countries for their business.Accordingly, the growth of the Bitcoin hash rate made it clear that even major problems at the level of individual states are not able to stop the popularization of cryptocurrency. And this created a positive for the market.
Also, the world of cryptocurrencies became popular due to the development of NFT tokens, which attracted the attention of mass investors and introduced them to the world of blockchain. Read more about the experts' point of view in a separate article .
Now analysts have taken up the topic of the possible maximum of the Bitcoin rate that awaits us in this cycle.
When will Bitcoin stop growing?
The forecasts for the maximums among the experts differ greatly. Some are confident that Bitcoin can grow up to 300 thousand dollars in the foreseeable future, while others insist that the crypto is pretty close to its record. It is the second scenario that Kraken analysts like the most.
Here is a comment from the experts, in which they share their vision of the market. The quote is from Cointelegraph .
At the current pace, the dynamics of the fourth quarter of this year is closest to the same period in 2017 with a correlation of 0.88. It should be noted that Q4 2017 was the third best Q4 for Bitcoin in its history with a return of 220 percent. Assuming the aforementioned scenario becomes reality, we can expect BTC to rise as early as the end of the month.
Accordingly, experts are betting on the growth of the main cryptocurrency in the last quarter of 2021. Usually, altcoins rally after Bitcoin. At least the peak of their growth fell precisely in January 2018, that is, a few days after BTC reached the $ 20 thousand mark.
Dynamics of profitability of the 4th quarter of the year for different periods in the history of Bitcoin
Another forecast was based on the Bollinger Band indicators and the Relative Strength Index (RSI), that is, technical instruments. Analysts continue.
Historically, BTC cycle highs have coincided with the cryptocurrency reaching both its upper Bollinger band and the monthly Relative Strength Index (RSI) around 96.
Estimated maximum for the current cryptocurrency cycle
At the moment, the RSI is hovering around 71.7, so Bitcoin still has room to grow. In addition, the cryptocurrency, even after the start of the bearish trend, is unlikely to fall too rapidly - experts noted that now a trillion dollar capitalization has become a new "bottom" for a digital asset.
We checked the latest data: today Bitcoin is at the level of 67 thousand dollars, making it a market capitalization of 1.265 trillion dollars. At the moment, the first cryptocurrency accounts for 41.4 percent of the total coin market.
Bitcoin price chart for the last 180 days
That being said, it's important to note that other cryptocurrency analysts have fairly similar goals for Bitcoin. Many are betting that BTC will grow to $ 80,000-100,000. Read more about the points of view of experts in a separate article. At the same time, do not forget that no forecasts must come true, because this is only a subjective point of view of analysts.
Kraken platform
We believe that the perception of the market cap of Bitcoin at the trillion dollar level as a base is fairly fair in the future. Still, now the cryptocurrency is much more popular than the events of 2017-2018. Now it is the national legal tender in El Salvador, in addition, the coin has already attracted the interest of Apple CEO Tim Cook, who invested personal funds in the coins. So the future for cryptocurrencies is clearly bright.
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