Bitcoin Tops $28,000: Experts Predict Long-Term Bullish Sentiments but Cautious about Future Fluctuations
Summary:
Bitcoin crossing the $28,000 mark is a positive development, but analysts Yann Allemann and Jan Happel stress it crucial that this threshold is permanently surpassed. The co-founders of Glassnode regard the $28,000 point as pivotal for Bitcoin's value. Even amid recent volatility which pushed Bitcoin beyond $30,000 for the first time since August, the cryptocurrency has managed to hold some of its gains. The $28,000 mark continues to be a critical area of contention among investors. Predictions for Bitcoin's future pre and post its next block subsidy halving in 2024 remain varied.
The surge of Bitcoin (BTC) past the $28,000 mark signals a positive market mood, however, it's vital that BTC permanently crosses this threshold, according to experts. Yann Allemann and Jan Happel, co-founders of blockchain data analysis company Glassnode, dubbed this level as a "pivotal target" for Bitcoin's value in their X post on October 17.
Glassnode: $28,000 is a key level to watch
Following the abrupt price fluctuations that pushed Bitcoin to touch the $30,000 level, unseen since August, this leading digital currency has succeeded in retaining a portion of its increase. Presently, BTC/USD hovering around $28,500, as reported by Cointelegraph Markets Pro and TradingView data, marking an approximately 6% rise since the beginning of the week.
Allemann and Happel observe that the currency duo now stands at a significant juncture. They stated that Bitcoin's success in breaking and enduring above the $28,000 level is vital for the progress of the entire crypto market.
The $28,000 level has been a hotly contested area since Bitcoin first surpassed it in early 2021, with significant liquidity at this threshold due to the continuous struggle between bulls and bears aiming to dominate the coin's longer-term course.
DecenTrader’s trading software data along with other sources validate that this circumstance holds true even with the recent shifts in BTC value - $28,000 resides within a range bracketed by significant long and short positions with different leveraging.
Bitcoin liquidity analysis. Source: DecenTrader
The pair noted: "Today's spot market price peeked at $27.98k after temporarily crossing this critical milestone on futures. This signifies how vital this level is overall.” They further emphasized that these price barriers and swift shifts reflect investor mood and market trends. Therefore, the $28,000 mark is crucial to monitor.
BTC/USD 1-day illustration. Source: TradingView
Predictions vary for Bitcoin's road-map to halving
As proclaimed by Cointelegraph, there's a wide discrepancy in forecasts for Bitcoin's prospects in the run-up and aftermath of its next block subsidy halving scheduled for April 2024.
Related: Bitcoin mining has never been harder - Five essential aspects to know this week
Last month, DecenTrader co-founder Filbfilb speculated that BTC could end the year on a high and potentially hit $46,000 before the halving sets in. On the other hand, some highly regarded market players like trader Crypto Tony preach caution. They predict a pre-halving dip to $20,000 that will constitute the final local low.
Crypto Tony expressed to X subscribers, regarding the recent surge, "You may proudly declare you are long right now and seized that move, but if you are not cashing in at resistance then you are making a mistake. To me, only if the $28,500 threshold turns into support, will I go long.”
BTC/USD marked graph. Source: Crypto Tony/X
This article offers no investment guidance or suggestions. Every investment or trading move entails risk, therefore, our readers should do their individual research prior to making decisions.
Published At
10/17/2023 11:41:10 AM
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