Looking back at history, Bloomberg Crypto analysts say BTC might be in for an incredible run, reaching new heights before the year is over.
We Are in for a Steep Climb
Has Bitcoin finally peaked and should we forget about it going much higher? Not even close if you ask the analysts in charge at Bloomberg Crypto.
According to them, the price could blow all previous numbers out of the water and climb as high as $400,000 before the end of 2021, which is an incredible increase from around the $56,000 where it is sitting at the moment.
Learn From the Past
They say history repeats itself and although it’s not written in stone, there are definitely lessons to be learned. If we take a look at the effects on the BTC following the halvings back in November 2012 and July 2016, it resulted in a pretty sweet bull run that lasted for as long as 12 to 18 months.
So what is the reason for their latest prediction? Well, the expert analysts have taken into consideration the performance of BTC during 2013 and 2017, where it took massive leaps.
In a report earlier this week, Bloomberg Crypto noted the following:
“Our graphic depicts bitcoin on similar ground as the roughly 55x gain in 2013 and 15x in 2017. To reach price extremes akin to those years in 2021, the crypto would approach $400,000, based on the regression since the 2011 high.”
That sounds pretty good to us.
Ready to Rally
According to the report, the analysts say that Bitcoin appears to be a bull market resting for the next leg of its stair-step rally. Considering that its 20-week moving average has made it passed the $40k mark for the first time, we would be foolish to dismiss their prediction of record numbers later in the year.
Bitcoin to Remain Strong
In times of a rising yield environment, gold for example might be in for a bit of a rollercoaster while Bloomberg anticipates that Bitcoin will remain relatively stable.
“Rising real yields are a headwind for gold prices, but less so for bitcoin, still in its price-discovery stage. Gold is fighting a battle with bitcoin, which can earn 6%-8% in crypto savings accounts and is well on its way to becoming a global reserve asset in a digital world.”
Should the prediction of $400,000 by Bloomberg analysts come into fruition, there will be giant smiles on the faces of all BTC owners. We can only hope the experts are right and fingers will be crossed all around the world for some time to come.