In fact, as reported by NewsBTC previously, Changpeng “CZ” Zhao of Binance wrote on Twitter that he expects for the leading cryptocurrency to hit $16,000 “soonish,” citing the news that China has adopted blockchain technologies, which theoretically should have bullish knock-on effects on Bitcoin.
Related Reading: Square’s Cash App Sold $150M Worth of Bitcoin in Q3: 250% YoY Growth
But according to a Bloomberg analyst, who covers the crypto markets in a once-a-month commentary, a $16,000 Bitcoin likely isn’t possible, at least in 2019 anyway. Here’s why.Bitcoin Price Remains Trapped
Su Zhu, the chief executive of Three Arrows Capital, recently released an excerpt of a report from “monthly crypto market columnist.” And according to them, Bitcoin is looking a bit more bullish than bearish but remains stuck in a tight range. The excerpt reads that “the worst of this year’s Bitcoin price correction… in our view.” The analyst elaborated that they expect for Bitcoin to remain bound to the $8,000 to $12,000 range until year-end; Bloomberg wrote that increasing institutional investment and a “favorable macroeconomic environment” should produce upside potential, but that “hangover selling from 2017’s price surge” should limit the upside, and potentially create some room for downside to the $8,000 region. //twitter.com/zhusu/status/48553984This analyst’s assertions echo a comment made by another Bloomberg analyst,. Per previous reports from this outlet, Bloomberg Intelligence’s McGlone that with there being key support at $8,000 and heavy resistance at $20,000, the cryptocurrency could be stuck in that range “endlessly.”
Summing up his opinion in one single — and quite morbid — thought, the Bloomberg analyst concluded by stating that he believes that the price of Bitcoin is entering “an extended hibernation.”What Comes First? $8,000 or $12,000?
Assuming that the columnist’s assertion that Bitcoin remains “caged” is true, what will the cryptocurrency trend towards, $8,000 or $12,000?According to a number of analyses, $12,000 is more likely than the lower-end target. A fractal pointed out by Starbust, for instance, largely implies that BTC will surge to the upside to retake $10,000 and beyond in the coming weeks.
Also, a Bitcoin price model created using Facebook Prophet machine learning found that the leading cryptocurrency is likely to end the year at just over $12,000. What’s notable about this model is that it called the price drop to $8,000 months in advance, and forecasted a ~$7,500 price bottom for BTC.
Related Reading: Bitcoin Likely to Break Past $10,000 in Next Bout of Price Volatility
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