Bitcoin's Market Trend
Bitcoin has seen a remarkable rise of over 70% so far in 2023, fueled by a banking crisis and hopes of a BTC exchange-traded fund (ETF) approval in the United States. Analysts believe that Bitcoin's ongoing market trend bears striking similarities to its price action between 2017 and 2020, suggesting the potential for a decisive bull run.
The Analyst's Perspective
Stockmoney Lizards, a popular BTC analyst, emphasizes that if history repeats itself, a breakout similar to the one in 2020 could lead Bitcoin's price to climb to the $45,000-$50,000 range by the end of the year. This breakout in 2020 set the stage for Bitcoin's record high of $69,000 in November 2021.
Facing Headwinds
Unlike the 2020 price rally, Bitcoin is currently facing challenges due to the tightening policies of the United States Federal Reserve, resulting in lower liquidity in the market. Bitcoin's price has dropped by 40% since April 2022, coinciding with the peak of the Federal Reserve's balance sheet.
Standard Chartered's Prediction
Standard Chartered, a global bank, predicts that Bitcoin will reach $50,000 by the end of the year. Geoff Kendrick, the bank's global head of research and chief strategist, believes that increased miners' profitability will reduce their need to sell BTC, leading to a lower supply against potential rising demand.
Bitcoin Technical Setup
Another Bitcoin technical setup suggests a year-end target of around $32,000, which is a recent price peak. Bitcoin has entered the breakout stage of its prevailing bump-and-run reversal (BARR) Bottom pattern. If this pattern plays out as intended, BTC's price could rise by another 12.75% by the end of 2023.
Investment Advice Disclaimer
Note: This article does not provide investment advice or recommendations. Readers should conduct their own research and exercise caution when making investment decisions.
