Bitcoin might hit new highs this year, as experts predict a fresh surge in value
Bitcoin has been on a rollercoaster ride. As its market volatility continues, so does its continuance to lose market dominance. Right from the start in 2022, it has been a rocky start for Bitcoin, but there are several experts who believe that BTC will definitely hit US$100,000, and that too is a matter of when. The growing adoption of Bitcoin in 2022 has left policymakers to negatively speculate about the future prospects of digital assets and their impact on the economic and financial markets. These same fears have spilled over into the cryptocurrency market, combined with fears over further regulation. Since the beginning of December 2021, the price of Bitcoin and a number of other major crypto assets start to drop by huge margins. In early 2022, the values of major digital assets continued to drive further, with Bitcoin’s price value lingering around US$40,000 and even below that. But lately, the crypto’s price has been surging, giving hopes to its investors of fulfilling the expectations of reaching the US$100,000 mark. In fact, recently, as BTC crossed US$46,000, crypto experts and key indicators predicted that the coin will continue to surge further, despite its volatility.
There is a reason by Bitcoin is more volatile than the rest of the investment assets. Unlike traditional assets, most cryptocurrencies, including Bitcoin have no underlying asset. Their value does not depend on how well the business is performing, or how advanced the company’s innovations are. The value of Bitcoin will rise and fall, even if investors would not like that. This indicates that the performance of the crypto is purely dependent on speculation about how the investors think the market will perform. As a result of this feature, Bitcoin has faced wild swings, even within a short span of 24 hours. There are also several other incidents that cause the Bitcoin price to dive.
Bitcoin’s Recent Price Movements
Over the past two weeks, BTC has been trying to surge. In terms of value, the world’s most powerful cryptocurrency has been struggling to rise above the market speculations and prove that despite market regulations and failed attempts to legalize Bitcoin, the crypto has the potential to yield huge profits in the long run. Analysts say that crypto is succeeding in its attempt to gain back its market dominance. As of April 5, 2022, the value of Bitcoin rose above US$47,000!
Experts have further said that BTC’s extended rise above US$45,000, indicates the crypto will witness a fresh surge. From its previous downturns, crypto was able to climb above 50%. But after this massive price surge, Bitcoin again fell into a major bearish trend, with its price currently trending around US$45,000, again! A move towards US$47,000 could indicate that the crypto will continue further to rise and eventually hit the US$50,000 resistance, but if it fails to clear the US$47,000, it could further start another decline.
Is Bitcoin Worthy of Further Consideration as a Long-term Investment Asset?
Well yes, Bitcoin is currently facing a setback due to various market disturbances, but it does not make BTC not worthy of consideration as a long-term investment asset. One of the major factors that sets BTC apart from the rest of the cryptocurrencies is its rapid mainstream adoption. Centralized financial organizations, governments, and other business houses might not like what cryptocurrencies have to offer, but they are quite eager to adopt Bitcoin, as it is the most-trusted cryptocurrency, and continue exploring the mainstream applications of Bitcoin.
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