The growth of Bitcoin (BTC) that was stirred by massive buy up in the past weeks has created a ripple effect with more investors stocking up on the coin in a bid to steer clear of the FOMO effect. The momentum in the buy rate of Bitcoin has neither slowed down nor is there any indication it will reduce in the coming days.
The massive growth of Bitcoin has earned it a place on the front page of mainstream media including the highly acclaimed Financial Times, and as such, the prospects of the digital asset are becoming more pronounced even to the most conservative of investors. As a matter of certainty, Bitcoin has grown by more than 40% in 2021 and its price is currently trading above $41,000 at the time of writing, yet, about 2.36 million BTC has been traded in the past 24 hours showing many people are unbothered by the huge price to continue the buying spree.
A major concern of new retail investors is whether getting into the BTC train now will be profitable or not as the fears of a major correction is now beginning to take the center stage
The Dual Hope of Investors Making an Entry into BTC Now
While the technicals particularly the 60-day Moving Average of BTC show bullish signs, there is a high level of trust in the indicator by most traders and investors to continue buying up the coin despite its price hitting and surpassing the $40,000 all-time high.
At this stage, the price movement of Bitcoin, as well as the other soaring cryptocurrency are at a pivotal point in their bull run. The price may either continue on the upward trajectory it is seeing or make a correction to break the key support levels it has formed in its bid to prick new territories.
With this two way potential move of BTC, investors who make an entry to buy the coin at its current ATH will still cash in some profits if the coin continues in its upward swing, while a correction move will result in losses for the investor who wants to take a short position with Bitcoin, although, this depends on the rate of drop and the time the coin takes to regain its momentum.
Expectations of Bigger Surges
The activities in the crypto sphere are most times influenced by ‘technical sentiments’, especially when it is coming renowned analysts and institutions with a vested interest in the space. While there are known critics of Bitcoin including Peter Schiff who believes the entire BTC price run is a bubble that may soon burst, major proponents of BTC believe the coin is just getting started and has the inherent potential to reach more than 10x its current valuation.
Mati Greenspan of Quantum Economics noted that:
“Charts only tell the past and we’re in brand new territory. This bull run began at $10k and 10x the previous all-time high seems about the norm for a bitcoin bull cycle. So since we’re approaching the halfway mark with extreme momentum, outstanding volumes, and exceptional fundamentals, I see this as a stop on the road to a Bitcoin price that could possibly be around $100k.”
This bullish call coupled with JPMorgan’s projection of $146,000 and others remains amongst the top calls investors are banking on to continue the buy up of the coin.