Bitcoin Price Prediction 2021: Market Analysis and Opinions
This year, the cryptocurrency market has been very volatile, making governments issue advisories on crypto investments, but that will not restrain us from making this Bitcoin price prediction 2021. Data from CoinMarketCap indicates that the “King coin,” with a market capitalization of $710,301,779,177 and a 24-hour trading volume of $710,301,779,177, has a circulating supply of 18,724,768.00 BTC at the time of writing.
Bitcoin Price Prediction 2021: Technical Analysis
Undoubtedly, Bitcoin investors have been nervous since the beginning of the year, as the coin has repeatedly broken fresh ground. The digital asset started the year at slightly below the $30,000 mark.
The coin has been riding high throughout the year, hitting an ATH of $63,626.60 on April 14. It just fell short of the resistance level of $65,000.
Before making a Bitcoin price prediction for 2021, let’s look at some of the factors that have buoyed the coin’s meteoric rise in 2021.
Bitcoin’s dramatic price rise began way back in late October, creating a bull run in the market. At the time, PayPal announced that it would allow its customers to buy and sell cryptocurrencies. The news excited the market, causing a price rally on BTC.
Also, institutional investors, who previously had a pessimistic outlook of Bitcoin, have increasingly adopted the coin as an alternative to gold. Notably, they are bullish on the BTC and are now advising their clients to invest in the coin. They are using Bitcoin as a hedging tool for their funds.
Additionally, high-profile investors have also played a role in creating the market sentiment required to create a bullish trend. When BTC price experienced a price crash, Elon Musk came in handy by his tweet in late January when he updated his Twitter bio by adding the #Bitcoin hashtag. Subsequently, the coin rose from $32,000 to $38,000. He even proceeded and termed the coin a “good thing.” Then, BTC rose to hit the $50,000 mark on February 14.
Similarly, In a February SEC filing, Tesla revealed that they had bought $1.5 billion worth of Bitcoin. In the subsequent months, the price rallied to highs of $64,000 in April. Previously, Square and Microstrategy had purchased Bitcoin using corporate cash. Moreover, MasterCard and BNY Mellon have also shown their willingness to use crypto, thereby creating more institutional interest in Bitcoin. Thus, more and more people want to own a Bitcoin wallet to be able to store it safely, and this interest is expected to grow in the future.
In May, news that Tesla had suspended vehicle purchases using Bitcoin hit the crypto hard, and matters were exacerbated by another of his tweet questioning the use of coal for Bitcoin mining.
Despite Elon Musk’s contradictory signals about Bitcoin, other notable investors have shown their interest in the ubiquitous coin. Notably, Mark Cuban tweeted to infuse hope to a market that was getting jittery after Musk declared that Tesla wasn’t accepting BTC for car purchases.
Bitcoin Price Prediction: Market Opinions
In making our Bitcoin price prediction, we will assess the forecasts made by authoritative sites for guidance. While we may look at these BTC price predictions, we can’t vouch for them. We will only use them as a guideline in giving our verdict.
Bitcoin Price Forecast for June
TradingBeasts’s Bitcoin price prediction for June is rather pessimistic. According to the site, BTC will reach a price of $33,877.138 at the commencement of June, with a minimum price of $29,201.848 and a maximum price of $42,943.894. They believe that the price will remain within the current range.
Walletinvestor‘s BTC price prediction shows that the coin will be on a downward spiral for June. It will start the month trading at $32,203.90, with a minimum price of $27,997.70 and a maximum price of $36,180.80. Below is the forecast for the next 2 weeks of June:
|Date||Price||Min Price||Max Price|
According to Gov.capital, BTC will start trading at $36,224.68 in June, with a best possible price of $41,658.382 and a least possible price of $30,790.978.
Bitcoin Price Forecast for the Rest of the Year
TradingBeasts’s Bitcoin price prediction for the remaining part of the year reveals that the coin will close the year at:
- maximum price – $45,680.155;
- minimum price – $31,062.505;
- average price – $36,544.124.
|Month||Minimum Price||Maximum Price||Average Price||Change|
|July 2021||28,921.179||42,531.146||34,024.917||-6.01 %|
|August 2021||29,332.953||43,136.696||34,509.357||-4.68 %|
|September 2021||29,756.026||43,758.862||35,007.090||-3.30 %|
|October 2021||30,176.169||44,376.719||35,501.375||-1.94 %|
|November 2021||30,621.286||45,031.303||36,025.042||-0.49 %|
|December 2021||31,062.505||45,680.155||36,544.124||0.95 %|
Despite the slow start in June, the prediction for the year 2021 shows that the coin will gain and maintain a bullish momentum, as indicated by the graph below:
Gov.capital thinks that it’ll sustain a bullish rally for the remaining part of 2021 to close above the $44,000 mark. You can see the whole price evolution in the graph below:
Cryptocurrency Experts and Influencers
Admittedly, 2021 has been the rockiest period for cryptos that even making Bitcoin price prediction may seem like an overstretched imagination. Nonetheless, that does not deny market enthusiasts the liberty to make projections.
Mark Yusko, a Morgan Creek Capital hedge fund executive, is very optimistic about bitcoin. He believes that BTC will hit $100,000 in 2021 and even grow exponentially to hit $250,000 in five years.
Fred Schebesta, the founder of the financial comparison platform Finder.com, is also very bullish on the prospect of Bitcoin. He believes that BTC will hit $70,000 before the end of the year. Moreover, Finder.com released a survey report from academicians and market analysts in which more than half of them believe that the coin is undervalued. They, however, came to a consensus that BTC will close the year just shy of the psychological mark of $100,000.
Mike McGlone, senior commodity strategist at Bloomberg Intelligence, believes that BTC will peak at $400,000 this year. In a tweet, the veteran strategist asserted that the coin is on its way to becoming a global digital reserve asset.
A Wall Street strategist, Tom Lee, believes that BTC’s price, despite being volatile, will close the year at $100,000.
Although Elon Musk often gives mixed signals through his quotes, he still holds BTC and believes in the coin. He recently sent a tweet that he was in discussion with North American miners, and the price rose by 4%.
Latest News and Happenings Concerning Bitcoin
Historical data has shown that the price of Bitcoin (BTC) rises whenever there is a halving event. The scenario played out after the 2012 and 2016 halving. In 2020, the results were not immediate, as analysts argued that the market had factored in the pricing event.
Nonetheless, other analysts believe that the effect can be seen 12 to 18 months later. If we go by the optimistic view of 18 months, we expect the price of BTC will be high by the close of 2021- a year and a half since the last halving.
Another development that will make BTC assert a bullish price rally in the future is that institutions are increasingly developing an appetite for the coin. Specifically, they see Bitcoin as a digital gold that can be used as a hedge against inflationary pressures.
Moreover, for a country like the US, which recently experienced a 4.2 % year-on-year inflation for April, BTC is seen as a haven for consumers who want to use it as a store of value for their savings. This will create an increased demand for the coin that will cause the price to rise.
Bitcoin Price Prediction: Verdict
Conisdering price predictions made by forecasting firms and notable investors, the verdict is clear – BTC will remain bullish in 2021. Of course, we cannot rule out the occasional seesawing of prices caused by price corrections and speculative activity. However, the coin will remain versatile as already articulated by academicians, influencers, and price prediction sites that use models. Therefore, depending on your risk appetite, we urge you to take advantage of the current low prices, so that you may reap big in the future.