In recent weeks, many people have been saying that the price of Bitcoin might go up in the next few months.
Three things indicate that this could happen in the near future, but we can’t be certain.
The main points are.
The first thing that affects the price of Bitcoin is halving.
The second thing: the end of the year
The third thing: ETFs
Predictions of how much Bitcoin will be worth in dollars.
The first thing that affects the price of Bitcoin is halving.
People think the price of BTC will go up because they expect it to halve.
In this situation, we are sure that at block number 840,000, halving will happen.
Blocks are being mined fast right now. Block number 840,000 should be mined in April. That’s a little over four months from now.
Historically, each time Bitcoin’s supply was cut in half, its price went up a lot. This happened in 2012, 2016, and 2020.
Many people think that the price of BTC could go up even after the April halving.
We can’t be sure, but when the creation of new BTC is cut in half, and the supply of Bitcoin from miners goes down, the price will probably go up if demand stays the same or goes up.
It’s possible that the markets are already taking this into account, but maybe not yet.
The second thing to consider is the end of the year.
Simply put, the price of Bitcoin often reaches its highest or lowest point at the end of the year because of financial reasons.
Those who make money might want to wait a few weeks before selling something so they can pay taxes on the profits the next year.
This usually means fewer people buy Bitcoin as the year comes to an end, especially if the price is high.
In 2023, the price started at $16,500 but has gone up since then.
It went back up to over $20,000 in January, and then in March it stayed around $25,000 for a long time.
Starting in the end of October, the price went up to over $35,000, possibly because the year was ending. It has stayed around that price since then, close to the highest price it reached this year.
Even though it’s still 47% below the highest point in late 2021, it’s already gone up by 124% since the start of the year.
Last year, when the stock market was not doing well, a lot of people may have sold their Bitcoin at a lower price. But now, many people who still have Bitcoin may be making money from it. They are waiting to sell it until after 2023 so they can delay paying taxes on their profits.
The third thing to consider is ETFs.
Most likely, the most important thing happening right now is the approval of spot Bitcoin ETFs in the US.
Many people think it’s almost certain that it will be approved, but it’s not supposed to happen until late December or early January.
It’s important to mention that in June, when people found out BlackRock had asked the SEC for permission, the price of Bitcoin went up from $25,000 to $30,000 in just a few days. This happened because BlackRock usually gets approval for its ETFs almost all the time.
Even in the last part of August, when people found out that Grayscale had won its lawsuit against the SEC for not allowing them to issue a type of digital currency investment fund called an ETF, the value of Bitcoin went up. It’s possible that the rise in Bitcoin’s value in late October was also caused by excitement about ETFs getting approved.
Many people believe that the third factor’s momentum might still be going.
Actually, all three reasons are still in effect. The first one is not ready yet, but the second one will end in just over a month.
Instead, ETFs are not just affecting the price of Bitcoin now, but could continue to do so even if they are approved and do well in the market.
Estimations of how much Bitcoin will cost in dollars in the future.
Many experts believe that the price of Bitcoin will continue to go up.
In the next few days, the important level to watch is $38,000. It has stopped two recent attempts to go higher.
Some experts think the wall could break by the end of the year. This might make the price of Bitcoin go over $40,000 by late November.
At that time, the price of BTC could go up again and reach above $45,000 in December or January.
Keep in mind that the way things are going in late 2023 is similar to how they were in late 2020, when the increase continued until mid-January 2021. People who don’t sell in November and December probably won’t sell in January if prices keep going up. But as soon as they show that they are no longer going up, they sell.
The idea is that the price of something could go up to $50,000 before it halves.
The Bitcoin price is expected to rise before an upcoming event called the “halving. ”
Every time the price of Bitcoin goes up before it is cut in half.
The rallies stopped between 61. 8% and 786% of the fibonacci retracement area.
If Bitcoin goes up before the halving, it could reach a price between $39,000 and $50,000. Here is a picture for you: pic. twittercom/Vd9MHuWNc1
“Titan of Crypto” posted by @Washigorira on December 3, 2022.
Even though these are just guesses and not definite, they are based on past actions, so they are not completely without reason. The strength of past predictions may not guarantee that future predictions will be right, but it at least provides a good starting point.
We may find out in late November if this change is happening. If the price doesn’t go over $40,000, then we will know for sure that the change is not happening.
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