The BTC Rollercoaster: What the Analysts Predict
So, if you woke up one day and found out Bitcoin (BTC) is making a bold bid to return to the five-figure territory, would you flinch? Apparently, some analysts are unphased. PlanB, the man behind the famous Stock-to-Flow model, recently tweeted that it wouldn’t surprise him at all if Bitcoin were to close 2019 at over $10,000. Considering how many times Bitcoin has bounced back in ways that would make a kangaroo envious, it might not be that crazy of a notion.
PlanB: Crazy or Just Bold?
In his tweet, PlanB mused, “Call me crazy, but it wouldn’t surprise me if BTC closes 2019 at $10k+ … opportunities like this (#bitcoin below S2F model value, 6 months before the halving) are rare.” You can’t help but raise an eyebrow at such audacity! After all, a 40% soar from current levels seems almost within reach. Last month, Bitcoin pulled off a dance move by jumping 42% in one day—what a show-off!
Current Price in Perspective
At the time of this talk, Bitcoin was hanging out at about $7,100, which is a painful $1,200 below the Stock-to-Flow’s suggested average price of $8,300 leading up to the May 2020 block reward halving. Just like a friend who always talks about their “potential future self,” Bitcoin is stuck below the expectations right now.
Bearish Vibes Before Halving: What’s Going On?
Willy Woo, a statistician who’s had his ear to the ground, noticed that the current bearish sentiment threatens to overshadow the halving event. Typically, halvings have been known to precede some pretty euphoric bull runs. Woo indicated that unless Bitcoin can close above $8,300 by the month’s end (and with just four days left on the clock), we might just be staring down a bearish December. And nobody wants that, like nobody wants to run out of toilet paper.
What’s Up with Tech Investors?
Enter venture capitalist Mike Novogratz, the eternal optimist who insists that BTC needs to recover the $7,500 mark in the next two days or else risk being stuck in a gloomy $6,000-$7,400 zone. Yep, the stakes have never been higher. However, in a classic plot twist, Bitcoin did rise about 11% on Monday from a low of $6,515, suggesting that it’s got some fight left in it. Let’s just hope it doesn’t throw in the towel!
Conclusions: What Should We Expect?
With all the whispers and predictions floating around, one thing is certain: 2020 might bring us surprises regardless of what happens in the short term. Will Bitcoin be taking a triumphant leap back to $10,000? Only time will tell and it’s sure to be one heck of a ride!
