Expert Reveals When Bitcoin Will Break Out
The crypto market is showing sluggish movement due to unfavorable macroeconomic conditions. Bitcoin, the largest cryptocurrency, in particular, is exhibiting extremely sluggish price movement. It is stuck in the $19K-$20K range for quite a while. It is currently trading at $19,082 and has fallen close to 0.5% in the last 24 hours. Florian Grummes, the managing director at Midas Touch Consulting, reveals how Bitcoin can break out of this range.
According to Grummes, Bitcoin will break the support level at $18K and test the price level at $10K. He also considers Bitcoin testing $6K a worst-case possibility. According to Grummes, the crypto market is currently in a liquidity crisis.
However, according to him, once Bitcoin reaches the bottom, it will reach a new all-time high.
Grummes correctly predicted the 2022 financial liquidity crisis due to unfavorable macroeconomics. He also correctly predicted that Gold will outperform crypto and the stock market in the crisis.
Bitcoin Break Out Movement Explained
The current global financial instability is tanking Bitcoin’s growth. The Fed is engaging in quantitative tightening to curb inflation levels. Therefore, the crypto market is going through a crypto winter. Grummes believes that the US Dollar will be the best investment bet during this crisis.
Grummes highlights that a crypto winter typically lasts for about 24 to 27 months. Since this crypto market is still one year into the winter, Grummes believes that a legitimate bull market is still about a year away. He still expects that the testing of the $6k price level is the worst-case-scenario. He believes that a bull market can be expected around the next Bitcoin halving in May of 2024.
Will Regulation Help Bitcoin
Many experts believe that regulatory clarity will help Bitcoin and Ethereum. It will increase institutional investment in cryptocurrencies. However, Grummes believes that central governments do not want to see Bitcoin succeed. He believes that the government will push Central Bank Digital Currencies at the expense of Bitcoin. Therefore, regulations may also hamper the growth of Bitcoin.
- Crypto Market Rally: BTC, BNB, SOL, XRP, ETH Surge Amid Q4 Momentum
- Bitcoin ETFs Record $2.2B Weekly Inflows as BTC Price Surges Past $120K
- Nomura Eyes to Ripple Dominance in Crypto Trading in Japan as Demand Rises
- Sharps Technology Plans $100M Buyback to Boost Solana Treasury as SSK ETF Hits Record $382M AUM
- Will Bitcoin Reverse to $115K Max Pain Price amid Crypto Options Expiry Today?
- Bitcoin Price Hits $120K, Is Citigroup’s Bold Q4 Prediction in Motion?
- Pi Network Price at Risk of Another Crash as Mysterious Whale Stops Buying
- Solana Price Eyes $360 After Bullish Retest As VisionSys AI Deploys $2B Treasury Strategy
- Cardano Price Forecast As Hashdex Listing Fuels Optimism For $1.27 Breakout
- BONK Price Rally Ahead? Open Interest Jumps as TD Buy Signal Flashes
- Shiba Inu Price to Surge as Whales Buy and Team Commits to Shibarium Growth
Why Trust CoinGape
CoinGape has covered the cryptocurrency industry since 2017, aiming to provide informative insights Read more…to our readers. Our journal analysts bring years of experience in market analysis and blockchain technology to ensure factual accuracy and balanced reporting. By following our Editorial Policy, our writers verify every source, fact-check each story, rely on reputable sources, and attribute quotes and media correctly. We also follow a rigorous Review Methodology when evaluating exchanges and tools. From emerging blockchain projects and coin launches to industry events and technical developments, we cover all facets of the digital asset space with unwavering commitment to timely, relevant information.
