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

[posi]

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

Change is always persistent in crypto market and like the saying nothing last forever but the time to do is making something meaningful out of every trend the market presented.

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.

You maybe right but the institution we be aware of President Biden stance on Bitcoin before us and if the institutions switch to Bitcoin it a possibility that Biden administration will be friendly with crypto. However,  his Treasury Secretary (Janet Yellen) stance  is what I believe it a big issue cause she make a statement that Bitcoin is used "mainly for illicit financing."

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

We have see some government who did something in favor of crypto but not all cryptocurrency that are anonymous and that include Bitcoin.

[Flowzer]

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.

If you are us citizens, using any cryptocurrency(if using exchange, not p2p models) cant be considered as anonymous transactions, i think many exchange apply KYC for US Citizen to make them paid taxes for it. Also i agree with u, Biden may apply more new rules which try to track cryptocurrency growht so that people wouldnt avoid taxes.

[youdacapt]

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

Given the volatility existing in crypto currency; it is safe to say that there are no temporary price or permanent price, it is better called trading price. Bitcoin has experience price upsurge as well as altcoins but i do not think the high prices are sustainable in the long run; do your research and ensure to take profits or invest in the bears

[newwest]

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.

Till the time organizations continue to hold or buy bitcoin prices will not see a very drastic fall. If only negative news come in market where many start selling could be a trigger point for the big fall else small correction is in place always but anyways for long term holders that is part of the case as eventually in the long term you do make profits.

[perfect999]

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.

They also do not have a price in their mind that people do not understand. These are companies that work with tens of billions of dollars and they buy it at around 5k-10k level as well in order to not increase it all that much very quickly. You think grayscale bought 500k+ bitcoin all at once? They have been buying since April or may if I am not wrong, they are collecting as much as they can without disturbing the market so that they would benefit from the increase without causing it that quickly.

Of course they are going to sell one day if they want to, but that will be in a situation where they sell to another rich person or a company that can buy it, not to you or me that will buy few hundred dollars of that amount sold, it is not going to be to the market directly, that would make them lose too much money. So, I would say it is going to be fine for us either way.

[iv4n]

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

Given the volatility existing in crypto currency; it is safe to say that there are no temporary price or permanent price, it is better called trading price. Bitcoin has experience price upsurge as well as altcoins but i do not think the high prices are sustainable in the long run; do your research and ensure to take profits or invest in the bears

Well I agree with you, the prices are volatile, and we can literally expect anything now! At least I expect unexpectable! In my case that is some heavy drop to under $20k, or to stay where, maybe $30k is the new bottom!
It's a big question what will happen in the next month or two! Many options are open, and even thou I can agree that higher prices seems not sustainable in the long run, we may be wrong about that. Some people say that this rise doesn't look at all like the one in 2017, and this can only be preparation for the next bull run... so all of us who are waiting the drop to buy (and I think there're many of us) can stay short!

[matchi2011]

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.

Till the time organizations continue to hold or buy bitcoin prices will not see a very drastic fall. If only negative news come in market where many start selling could be a trigger point for the big fall else small correction is in place always but anyways for long term holders that is part of the case as eventually in the long term you do make profits.

You have a much higher chance of gaining decent amount of profits if you are into long term investment. Corrections is always coming
so expect that  value will fall back.

Don't be blindly move by fuds but better to analyze every situations, wise is a man who thinks carefully before making any moves. Past
experieced also a good basis choosing between long and short term investment.

[mezzaluna]

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.

Your whole comparison is just plain weird. Politics and Cryptocurrencies have currently no relation proven whatsoever and we really should stop forcing things that doesn't go well together. Bitcoin's value is boosting the value of other Cryptocurrencies in some situations and as we are seeing right now, btc's value is fluctuating at some values but its not creating a trench pattern like it did before. We can surely see some more stabilization within the following months because of its new applications being developed.

[teosanru]

When crypto went north in 2017 I was of the opinion that it's just a bubble and it would burst sooner or later. But the ascent of bitcoin this time looks pretty good. Now I feel that even 2017 ascend looked logical. At that time there was a huge amount of retail investors that entered the market for the first time for quick profits and old institutions took advantage of that thing to make some profits at that time. But on the other hand, this ascent is marked by institutions investing huge sums of money in cryptocurrencies. I still feel that for a virtual currency $40k per bitcoin is a huge value but now when everyone has more or less accepted it as an investment asset it looks like an intelligent choice to invest in it. Prices might not stay stable around 40k at this point but one thing is sure is we are going to get a bullish market over a long term horizon.

[Princejebs]

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.

You just hit the nail on the head,that's the simple truth. Crypto tend to grow in value but sustainability has never been better. You will see a coin make 2x in value and still loose everything before the monthly close. Bitcoin is even better, unlike then that it's was so volatile that bitcoin could loose $4k monthly during the last all time high.
Even now is not too different, if we check bitcoin price, we are down $10k from all the high.

[South Park]

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.

But that is precisely the issue, it is impossible to predict what the market is going to do, which means that the current top of 42k may seem high now but what if institutional investors get scared because of the aggressive policies of governments all over the world and decide to come massively to this market and buy everything they can, suddenly the price of bitcoin will grow up dramatically as the supply you can find in exchanges dwindles almost all the way down to zero.

[KEN D]

Digital currencies tend to invest in short-term, but in the long run, the price of Bitcoin is rising. However, the current Bitcoin price increase is too high, there is a possibility of a little false high, so there may be a callback, but the magnitude will not be too large.

[lixer]

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.

You maybe right but the institution we be aware of President Biden stance on Bitcoin before us and if the institutions switch to Bitcoin it a possibility that Biden administration will be friendly with crypto. However,  his Treasury Secretary (Janet Yellen) stance  is what I believe it a big issue cause she make a statement that Bitcoin is used "mainly for illicit financing."

What Janey Yallen was trying to say is that there needs to be a lot more surveillance in the crypto world and not let it be so much anonymous, otherwise not in a financial situation that would impact on us. Meaning, you could buy and sell crypto all you want, you could profit from it as much as you can and by all means make the most profit from other nations and bring their money to USA, Janet would be very happy about it, but let them know while doing that, tell them how much you bought and sold and whatever and in the end you would be capable of living your life like the old days as long as you let them know.

The thing they are against is the privacy part of bitcoin and since we are not dealing with XMR here, bitcoin is not THAT private neither, people can trace addresses and transactions and figure out where you took your money, so it is not really that interesting request neither.

[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.

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

We will look at that maybe this week or the next as the price is closing down to $29K. The price is slowly losing its strength but that doesn't mean that it will not be doing its climbs every now and then. The price is more volatile than in the past and I think it might hit above $25K this upcoming week and just go back to its above $30K price mark.

[fullhdpixel]

I think this depends on the type of coin you buy, if you look at the case of bitcoin which when it was first launched the price was very cheap after 2020 the price could be this expensive then it can answer your question that bitcoin can increase in price from year to year and can used for long-term investment due to the influence of the limited supply of bitcoin and high demand, while for altcoins not everything can be like bitcoin.

Year to year increase happened in bitcoin all years except from 2018 to 2019 because in 2018 everything went down, if you remove that year, every single year the price has increased over the previous year. Which means if 2021 is not a year like 2018 which it won't be, we are going to finish the year over 30k for sure as well. That is what I understand from permanent, if price of bitcoin has a good return every year, and we started the year close to 30k levels, that means we should be going even higher this year.

We had 40k+ as well this year, but that was in 2021 and not at the end of 2020, at the end of 2020 it was around 30k and then it skyrocketed over 40k during the early days of the year. So my estimate is not 40k+ it is 30k+ and I think it will definitely be over that when the year ends. It could even be over 40k+ as well, but even if we finish with 40k+ that would be an increase.

[posi]

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.

You maybe right but the institution we be aware of President Biden stance on Bitcoin before us and if the institutions switch to Bitcoin it a possibility that Biden administration will be friendly with crypto. However,  his Treasury Secretary (Janet Yellen) stance  is what I believe it a big issue cause she make a statement that Bitcoin is used "mainly for illicit financing."

What Janey Yallen was trying to say is that there needs to be a lot more surveillance in the crypto world and not let it be so much anonymous, otherwise not in a financial situation that would impact on us. Meaning, you could buy and sell crypto all you want, you could profit from it as much as you can and by all means make the most profit from other nations and bring their money to USA, Janet would be very happy about it, but let them know while doing that, tell them how much you bought and sold and whatever and in the end you would be capable of living your life like the old days as long as you let them know.

First she talking about taking a huge step in centralizing cryptocurrency which is certainly impossible for the crypto community to agree to her offer and I dont know why she want crypto to be more surveillance when company like chain analysis claim to be useful in digging out transactions.
With that been said, the news I read said some different to what you explain, can provide the link to the article where Janet said everything you explained.

The thing they are against is the privacy part of bitcoin and since we are not dealing with XMR here, bitcoin is not THAT private neither, people can trace addresses and transactions and figure out where you took your money, so it is not really that interesting request neither.

Straight from the shoulder, they only want Bitcoin to be centralized so they can have power over cause we both know Bitcoin is not a privacy coin.

[fahmimajannat]

I don’t thing it will last too long. Bull market is a temporary market. It stays for a short period of time. We had seen in past that btc dropped to 50% to 60% in a a day.
So i don’t think it will last too long.
But no one can assume perfectly. It can last for a while or a decent period of time.

[oliviarobert]

Market corrections are normal. After the journey to the moon, we can see some dips. Since Elon started promoting this one, although his tweets are just for fun or what, it attracts many people's attention and makes the price of bitcoin move forward, as long as there is no news that can affect the bitcoin price and make it drop, it will continue to pump, so if you buy last time when it becomes $32,000, you're lucky it's going to go to $37,500 now somehow.

[Natalim]

I don’t thing it will last too long. Bull market is a temporary market. It stays for a short period of time. We had seen in past that btc dropped to 50% to 60% in a a day.
So i don’t think it will last too long.
But no one can assume perfectly. It can last for a while or a decent period of time.

It has already last longer .. I was expecting that it will dump last month but it did not happen, my opinion was based on the past bull run where it was only a short live and then followed by a big correction that resulted to a bear market, if it will happen this year, it will be in the first quarter of the year.

[Webetcoins]

it is impossible to predict what the market is going to do, which means that the current top of 42k may seem high now but what if institutional investors get scared because of the aggressive policies of governments all over the world and decide to come massively to this market and buy everything they can, suddenly the price of bitcoin will grow up dramatically as the supply you can find in exchanges dwindles almost all the way down to zero.

If the governments get too strict about some things I am afraid they may do that for crypto as well. The moment there is a law about "you have to pay taxes for each crypto you have" that would be the end of it, because you could buy bitcoin at 30k, price could fall to 20k, and you will also have to pay taxes on the 20k you have even though you lost 10k, so both lose money from trading AND taxes on top of that. Does that sounds impossible to you? That could definitely happen if governments go crazy on crypto.

It doesn't have to be this way, they could just ban ownership of it, they could have high regulations on it, they could basically do all they have to make sure it is not a good investment to make and try to sway all those big companies to get away. Sure you can still have some in secret but these huge companies can't do that so they will end up getting away from crypto as well.