Experts Fear the Crypto Winter Return, But the Forecast of $100K per Bitcoin Is Not Canceled

Experts Fear the Crypto Winter Return, But the Forecast of $100K per Bitcoin Is Not Canceled

Source: YouTube / Jesse Powell

Several analysts were forecasting a BTC price of about $100K by the end of the year. However, some of them are now claiming that this price is unlikely.

Jesse Powell, CEO of Kraken Exchange, was one of those expecting $100K for bitcoin. A similar forecast was also announced by the well-known analyst PlanB, who proposed using a stock-to-flow model for the cryptocurrency market. Popular trader Michael van de Poppe, Anthony Pompliano, co-founder of Morgan Creek Digital Assets, Anthony Scaramucci, CEO of SkyBridge Capital, and other influencers have also stated this. Now some of them are changing their predictions.

Jesse Powell remains positive about bitcoin over the long term. He does not deny that bitcoin will reach $100K, but it will happen later, in his opinion. The expert believes that the growth waves of the king of cryptocurrencies have so far been tied to bitcoin halving, that is, halving the mining reward. However, now the capitalization of the cryptocurrency market has become big enough not to be connected directly to events of this kind.

Cryptocurrencies become a part of the global financial market, so they are influenced by the fundamental factors that operate in the stock markets. In particular, now it is concerned with the decisions of the FRS. At the same time, as a young asset, bitcoin still has huge growth potential. Jesse Powell previously stated that “Bitcoin price is going to infinity in March”. Now the expert points out:

– When you look at a long-term trendline of Bitcoin and it’s just up consistently. I always tell people, ‘If you think about buying Bitcoin, think about it as a five-year plus investment.’

As for the current moment, the situation is complicated by the pandemic, some possible actions against it, and the Fed’s decisions. As a result, the expert admits that forecasts should be changed because “it’s hard to know where it goes”. According to Jesse Powell, the situation will become clearer when bitcoin drops to $40K. At this level, massive purchases of the asset will take place, and another wave of its growth will begin, which can lead it first to $100K, and later “to infinity”.

Earlier, other experts spoke about the price of $40K as a strong support level. However, bitcoin is displaying a lack of urgency to go down, it follows rather sideways dynamics. Perhaps, if the leading cryptocurrency stays flat for a long time, investors will stop expecting new lows and will buy at this price. This will also lead to market growth, but perhaps not too fast.