Despite the big drop in May, the Bitcoin (BTC) bull market still looks strong, according to Mike McGlone, senior commodity strategist at Bloomberg. So much so that, according to the strategist, it is more likely for the BTC price to reach $100,000 than a pullback to $20,000.
Can BTC hit $20,000 or $100,000 in 2021?
The June issue of the Bloomberg Galaxy Crypto Index report described Bitcoin as “stronger, more bullish, and less expanded” compared to the peak of the rally in April. So the biggest cryptocurrency is more likely to hit six-digit prices than it is to experience a deep correction to 2017 highs.
McGlone attributes the correction in May to the excessively prolonged rally, restrictions in China, and unfair criticism of Bitcoin’s energy use. He says that as a result of all these factors, more than 50 percent decline was observed from top to bottom.
“Bitcoin’s status in 2021 is solid,” McGlone added, adding:
“Bitcoin data towards the end of 2020 revealed that the currency will rise sharply in 2021 and we see strong support in this context.”
He continued his explanation as follows:
“In 2020, 260-day price volatility fell to its lowest level compared to most major asset classes, notably the S&P 500. Thanks to last year’s shrinkage of supply, its shift to institutional portfolios, Ethereum futures and the addition of ETFs in Canada and Europe, Bitcoin Increasing to $100,000 is more realistic than falling below $20,000.”
Analysts differ about the direction of BTC in the short and medium-term timeframes. Several theorists predict a retest of 2017 highs as traditional financial indicators point to the $16,000 bottom. Others such as on-chain analyst Willy Woo said that BTC has likely bottomed out, as the network’s fundamental data improves and adoption rates increase.
Senior trader Peter Brandt said the worst of the BTC price correction is yet to come. Put forward. But it’s not wise for those with spot positions to take a loss and sell, however, to Twitter followers. told:
Big picture perspective on owning $ BTC in appropriate size with money you can afford to lose
Market topped $64,7kf
Market corrected to $30,0k
Worst I can envision is $21,0k
Why would someone bail out of non-leveraged longs when the market already had 80% of worst case drop?
— Peter Brandt (@PeterLBrandt) June 2, 2021
Another theorist, Bob Loukas, thinks that the price of BTC has bottomed out last month. However, he also warned that there may be another moderate downward trend during the next 60 days. “The mid-range trend is now bearish,” Loukas said on May 27. tweet threw. “But the current bullish trend is balancing out.”
However, noting that trading without a clear trend is risky, he also noted that there is a $20,000 downside risk. he accepted.
Still looking at chopping 60day cycle #bitcoin. Difficult to trade for most. Everyone with off the map price predictions confirms. Mostly observing personally for now (trades).
There is downside risk to $20k (trend is down) so a have plan just in case.https://t.co/13vdALGfSX
– Bob Loukas (@BobLoukas) June 1, 2021