The recent rise in prices, temporary or more long term?

[redsun114]

For my part, unless there is some earth-shattering action from some of the government agencies, the Bitcoin prices are very unlikely to drop below the $30,000 level. Because the user profiles have undergone a massive change during the past few months. Institutions and mainstream investors have entered the market, and they are mostly investing for the long term.

That is an assumption that we are making and it can be a dangerous one, institutional investors are in it for the money they can gain, they have no ideological ties with bitcoin, most likely they do not care if they destroy bitcoin in the process, they only care about the profits that they can make with it and if for some reason they want to sell their coins you can be sure that they are going to crash the market in the process because it is going to be impossible to absorb so many coins so quickly.

That is the worst case scenario, but remember that this institutions are in for the long haul. Maybe their target price is like $100k to really make some liquidations, and of course to make profit. But there could really be buyers as well, if they decided to sell then someone in the wing are waiting. Also bitcoin supply is dwindling, it's running out so getting it is going to be hard and these institutions knows that's why I doubt that they are going to sell in the next couple of years.

I do not get why people assume that crypto will be sold that easily. We are talking about billions of dollars, if the companies wanted to sell that much bitcoin and crypto they would have to find buyers for it, could they find buyers? Technically they could find that would pay a lot lower than what they paid for it, but when you are up 2x from your entry point and you want to sell, would you consider selling less than what you spent from that position? You would prefer if you could get double like it is right? Who would want to buy from 15k, see it at 40k, and sell at 10k?

Plus they are still buying, grayscale bought 7k+ more bitcoins just last week or 10 days ago or so, which is why I do not think that it would be a problem, they are not selling because they are super rich and wealthy so they do not have weak hands and they keep buying to get richer and richer.

[1715665107]

1715665107

[shield132]

It was december 18th, 2017 when bitcoin hit 20K USD. Halving was in spring, 2016. We had the same situation this year, right? Halving happened during quarantine, bitcoin didn't fall and went high. As it was expected, bitcoin's price significantly rise in winter, as we reached 40K USD. I was hugely hoping that we would reach 50K and was holding my coins but decided to sell them at 32K (but still kept half). I don't have a hope that price will rise but there is still a good chance, we may hit 50K but after that, personally I wouldn't risk to hold coins.

If we have a look at previous statistics, then obviously this recent rise of bitcoin's price was just temporary and it's time to sell.

[FlightyPouch]

Now that bitcoin attracted more and more investors including billionaires, millionaires nd big companies like paypal, I think the price of bitcoin will continue to increase and it's not temporary, but of course we should always be ready for anytime price corrections.

Well, we should be. Let's take that as a breather and it happens every time the price makes these kinds of pumps. The price is going back and forth at $30K and $33K and we are seeing the price getting unpredictable again. I don't know if we will be hitting the price at $20K but I don't think it will last there considering the number of investors lately.

[SaveOurSea]

At this point anything is possible, while I also believe that institutional investors decided to come to the market because they see the long term potential of bitcoin the scenario that I presented cannot be discarded, there is always the possibility that they may decide to sell before reaching their targets and if they do so massively then the price could take an enormous hit and with it the confidence in bitcoin and its future as a store of value.

I think this price in the market is not for long term, it will be decrease anytime right now, maybe after this Q1 correction will come, plus add the fact that many news are coming especially when Biden sits as newly elected president in the state, a lot of rumor has been created, China has their own digital yuan, a lot of news and fud has come to our way, we should not expect for higher prices, we should be contended and make chart reading a habit.

according to the chart, this is indeed a Bullish cycle, we have entered a bullish after a long bearish cycle,
of course that is a difficult thing for holders and traders, and we are all going through it, I guarantee this is a bullish long term for bitcoin,
even if a dump occurs, I think it is is a only correction.

[Argoo]

That is the worst case scenario, but remember that this institutions are in for the long haul. Maybe their target price is like $100k to really make some liquidations, and of course to make profit. But there could really be buyers as well, if they decided to sell then someone in the wing are waiting. Also bitcoin supply is dwindling, it's running out so getting it is going to be hard and these institutions knows that's why I doubt that they are going to sell in the next couple of years.

Institutions usually don't offload their assets that quickly. Although I would say that some of the institutional investors may not be looking to hold the coins for the long term, the vast majority would be willing to hold them for at least a few years. They do their investments in a systematic way. At the time of investment, they will be having a target. If that target is achieved within 6 months, then we can expect them to dump their coins within that period. On the other hand, if it takes more than 5 years, then they will hold the coins for that much time. But the most worrying aspect here is that they will be having a stop loss target as well. If the BTC exchange rates go below a certain limit, then we can expect a massive selloff.

It should be borne in mind that absolutely in all states there is a drop in the level of the economy due to long-term and unprecedented measures to combat the coronavirus pandemic. Therefore, inflation will rise. People will flee from it, invest in cryptocurrency. So overall, I think this year will be a very good year for cryptocurrency. Of course, this market is very unpredictable. With active growth, there will also be sharp price swings. This year should be very successful for traders.

[Ultegra134]

It was december 18th, 2017 when bitcoin hit 20K USD. Halving was in spring, 2016. We had the same situation this year, right? Halving happened during quarantine, bitcoin didn't fall and went high. As it was expected, bitcoin's price significantly rise in winter, as we reached 40K USD. I was hugely hoping that we would reach 50K and was holding my coins but decided to sell them at 32K (but still kept half). I don't have a hope that price will rise but there is still a good chance, we may hit 50K but after that, personally I wouldn't risk to hold coins.

If we have a look at previous statistics, then obviously this recent rise of bitcoin's price was just temporary and it's time to sell.

I was present when the price crashed in 2017, so I do understand why you wouldn't want to hold any coins if $50k happens any time soon. I don't know if I would keep any either to be honest. However, I do think that Bitcoin's price has now officially settled to be that high, I mean, I highly doubt that it is going to fall again, we're not going to see a 2017 price crash, for the time being at least.

[Flowzer]

BTC has risen quite a bit recently, but at a slower overall rate than in December 2017.

I disagree.

The Bitcoin price what we had last December 2020 until now was from $20,000 to $42,000 and that's a $22,000 increase in just couple of weeks, while in 2017, we had $900 to $20,000 which is only $11,000 of price increase, so what's the "slower" rate you were trying to say? It is Crystal clear that Bitcoin is much more aggressive now than before, that's because of recent countries adopted Bitcoin and big companies like Tesla and Microstrategy investing in bitcoin.

In the percentage, 22 divide by 20 is lower than 11 divide by 9. I think he trying to say that. Agree, big companies which investing on bitcoin really make big hope to us, i dont think the price will correction very dip even if the correction will happen.

[kezinaur14]

Now that bitcoin attracted more and more investors including billionaires, millionaires nd big companies like paypal, I think the price of bitcoin will continue to increase and it's not temporary, but of course we should always be ready for anytime price corrections.

Well, we should be. Let's take that as a breather and it happens every time the price makes these kinds of pumps. The price is going back and forth at $30K and $33K and we are seeing the price getting unpredictable again. I don't know if we will be hitting the price at $20K but I don't think it will last there considering the number of investors lately.

Even if price falls to $20k, it'll bounce back up. To a minimum of $65k by eoy.

[Wawa2013]

If you look at the price of Bitcoin which is still stable above the $ 30k support price, it is like the increase in Bitcoin for the long term.
At least during 2021, I am optimistic that the Bitcoin price will still go up, with the Bitcoin price going side away right now. Make some
altcoins increase in price, although the increase is not significant. But I believe 2021 will be a good year for crypto.

[AndySt]

A lot in the market proves the market is still young, we have not seen such an acquisition by institutions and we don't know what the retail traders will bring. I can't imagine the market response when institutions buy into Ethereum and effect on other altcoins. The price effect is a bit different from the past cycle

On the one hand, the situation is slightly different from previous years, on the other hand, we can still see the trends that have already formed. And these trends suggest that the more bitcoin and alternative coins are introduced into traditional markets, acquiring features in the form of accompanying exchange instruments, the higher the exchange price will be. That is, the lower limit of the exchange rate price in the case of a collapse and the upper limit in the case of a take-off are now twice as high.

[SirLancelot]

I think this price in the market is not for long term, it will be decrease anytime right now, maybe after this Q1 correction will come, plus add the fact that many news are coming especially when Biden sits as newly elected president in the state, a lot of rumor has been created, China has their own digital yuan, a lot of news and fud has come to our way, we should not expect for higher prices, we should be contended and make chart reading a habit.

I believe that drop might be temporary though and we should not be worried about it. Let me explain it in laymans terms ; bitcoin went from 20k to 3k, a huge fall that nobody expected, needed 7x to recover, and in 3 years it has actually gone to 41k, that is over double of the previous peak and same could happen.

What I am trying to say is that if the price goes down from here, which it totally can, that doesn't mean the end of bitcoin, you could buy from this price, wait for it to go up and if it goes down instead, you could keep buying, buy bitcoin with every paycheck, use like 5% of your paycheck if you can, and keep buying more and more, eventually price will stop going down, just like it did during 2018 and started going up in 2019, there will be same period, and next time something like 2020 happens you will have a lot of bitcoin from low price and you will profit very easily. So even if it falls now, do not be discouraged and keep buying.

[disconnectme]

I don't think the rise in Bitcoin value recently has anything to do with who was elected the President of US, it was as a result of new money coming into the space from institutional investors and there are proofs of this. The price will likely go side ways from here and will allow Altcoins to pump and regain part of their lost value against Bitcoin, any Altcoins that fail to pump, this is when you will not the dead projects.

[777Jolami]

The recent market surge is a natural process.  because market fluctuations always have a large frequency of fluctuations.  based on that oscillation, the trend of the market can be assessed.  I believe that as long as bitcoin holds its anchor, $ 32k, it will continue its long-term growth and the condition is to hold for the long term.

[Majharul Saiif]

The crypto world has never been stable and there is no assurance that it will happen in the future. So the prevailing high price is not in my viewpoint for a long time but temporary.

[hahay]

I don't think the rise in Bitcoin value recently has anything to do with who was elected the President of US, it was as a result of new money coming into the space from institutional investors and there are proofs of this. The price will likely go side ways from here and will allow Altcoins to pump and regain part of their lost value against Bitcoin, any Altcoins that fail to pump, this is when you will not the dead projects.

Yes, even though the US has an influential economy for the world economy but that doesn't make it a driving force for the cryptocurrency market, so whoever the president is elected or there is a problem there won't make bitcoin prices go up and down. The effect of that is likely to be attributed, but it will not last long because the supply and demand in the crypto market continues so that its movements will not be easy to control. But regarding whether this increase will continue or not, this market will not really continue to rise and fall so that any increase that occurs requires us to be ready to overcome dumping that could occur at any time.

[jasonjm]

BTC has risen quite a bit recently, but at a slower overall rate than in December 2017.

Given that it looks like Joe and the Ho might actually get in, I am wondering if the big rise in BTC interest is because people are using crypto to transfer or HODL their cash assets to avoid taxes.  I certainly would.  I think that if it is the case, then BTC price has quite a bit of upside left in it yet, and when (not if) biden tanks the economy, then BTC will be used even more.

What do you think of the recent price gains and if the prices will stay up or crash out?



Trump won the election.  biden was INSTALLED, not elected.  There's a difference.

The US can influence the global economy but as far as the crypto market is concerned at the moment it not based on the US presidential election and mainly the bull run was a result of institute involvement and PayPal allowing their user to buy bitcoin. I think this pump is here to stay for a while and chances are that price might go past $50k at the end of 2021 or in early 2022. But before this happen the price might dip to $25k for a slight correction.

[BSchlick]

BITCOIN MAY BE A BUBBLE. Being the beginning of a new year, and BTC having hit new highs, the number one fear keeping people on the sidelines is that they feel they've missed it, and the further up it goes, the more 'proof' this is that the price is setting up to implode. There is certainly a reasonable logic to these assumptions. And no one can deny that we have never seen something (let alone an 'asset class', as its now being referred to) go up this fast, this far, and be sustainable.

People naturally fear what it is that they don't understand. And for good reason, this is our finely tuned survival instinct at work, which has been fine tuned over the millenia. After all, if you're wrong about the tigers intentions, a second chance is less than  likely. The problem comes from, how little people know or understand about what it is that they have slowly, but eventually, come to trust:FIAT currency. FIAT by definition, means 'by decree', or essentially "hear ye, hear ye", an  arbitrary, formal announcement by the powers that be, the King or otherwise. It took a long time for the people to come to trust the central powers and to accept their "money", in place of what they had always known to have value: gold and silver. The USD was backed or 'pegged' to gold, which is where it derived its worth from, until 1971, when President Richard Nixon took us off of the gold standard, without the permission of Congress. It was than that we became a truly fiat currency.

The central banks have long abused their powers, through overspending, inflating away their deficits, to finance wars they couldn't afford, or to repay creditors, in 'diluted' currency. Globally, this has lead to the 'race to debase' nations currencies, to make them more attractive (affordable) places in which to invest.

While BTC may well be moving parabolically, which yes, can understandably be alarming, at least we can see its price.  What we can't see is the Trillions of dollars created out of thin air by central banks, who now have a monopoly over the currency supply, and are accountable to no one except themselves.

The powers that be are also understandably worried, about losing their power to control the money supply. Nathan Rothchild said "Give me control of a Nations Money supply, and I care not who makes it's laws".  This is to say, that he who controls the printing press, runs the show. Its time we take back what they have abused for so long, power.


BSchlick

[oHnK]

I don't think the rise in Bitcoin value recently has anything to do with who was elected the President of US, it was as a result of new money coming into the space from institutional investors and there are proofs of this. The price will likely go side ways from here and will allow Altcoins to pump and regain part of their lost value against Bitcoin, any Altcoins that fail to pump, this is when you will not the dead projects.

Yes, even though the US has an influential economy for the world economy but that doesn't make it a driving force for the cryptocurrency market, so whoever the president is elected or there is a problem there won't make bitcoin prices go up and down. The effect of that is likely to be attributed, but it will not last long because the supply and demand in the crypto market continues so that its movements will not be easy to control. But regarding whether this increase will continue or not, this market will not really continue to rise and fall so that any increase that occurs requires us to be ready to overcome dumping that could occur at any time.

Dumping that occurs at any time also has a reason.  There is no sudden decline, in every decline there must be signs and reasons given by the market.  Before experiencing a loss, you must be ready to cut losses in the position you expect.  Because I still believe the bitcoin price continues to peak at new highs, if there is a small correction it is natural.  Whatever is happening right now regarding the price of bitcoin in my opinion it is still healthy considering the reasons for good fundamental reasons, and graphically this increase has the same rhythm and I predict the price will continue to rise again with the next few corrections.

[Spaffin]

I believe that the current situation in the cryptocurrency market is quite predictable, since all price fluctuations occur for some reason. Today traders want to lock in their profits and therefore sell when the peak is reached, and as soon as the price drops, they buy again. If you look at the historical data, then in 2018 the cryptocurrency market experienced almost 6 corrections.

[Pixyoxx]

The sudden rise in the price is in my opinion temporary.

Taking into account big investors, PayPal announcements and more exposure and enthusiasm shown my role models of millions of people has led to this high spike.

We already saw that it reached its peak at 42k and since then it is gradually coming down, so I think your question is already answered.

I don’t think with Biden would do any good to the crypto market but he would actually try to apply new financial sanctions to control the growth of bitcoins so that people wouldn’t avoid taxes.

We cannot expect any government to actually be in favour of cryptocurrency as it is difficult to track it and it is almost anonymous.