What will be the market Bitcoin Price in 2022

Long-term analysis of Bitcoin Price in 2022: What will be the market trend in the new year?

bitcoin price 2022

Contrary to the predictions of most cryptocurrency market analysts, Bitcoin ended its work in 2021 with a price of less than $ 50,000. But what will the Bitcoin market trend be in the new year, and what are the key price supports and resistances in 2022?
According to the Telegraph, the Bitcoin trend ended in 2021 with a significant distance from the 100,000$ target that analysts had predicted. Jesse Powell, CEO of the Kraken Exchange, who recently predicted that the price of Bitcoin would reach $ 100,000 by the end of 2021, still has a bullish outlook on Bitcoin performance in the Bitcoin market trend in the long term. However, he does not rule out the possibility of falling prices in the short term.

The Negative Point

One negative point that could make sales pressure increase in the short-term is the change in the monetary policy of the US Federal Reserve. The Federal Reserve announced on December 15 that it would continue to move faster than before toward stopping Bond Purchase Program. In addition to this, the government plans to increase bank interest rates in 2022 in three stages.
Sam Stovall, a capital expert at CFRA Research, said that as the market history shows, during the 12-month period in which the Federal Reserve intends to raise bank interest rates in three or more steps, The performance of the S&P 500 index is also most likely tend to negative efficiency.

Bitcoin and the S&P 500 index

Since the price of Bitcoin and the S&P 500 index are correlated significantly over the past year, if history is meant to repeat itself, Bitcoin may be under a lot of pressure just like the US stock market. Fears and its growth of it may drive some market participants out. So, predicting whether investors will continue to buy Bitcoins in the new year to counter rising global rising inflation. That is not an easy task to do, and also, we cannot comment on this with certainty.
In this article, which has been specially prepared for the beginning of 2022, we intend to examine the price conditions of Bitcoin in the long term and identify key price supports and resistances for the new year.

Long-Term Analysis of Bitcoin Prices

Simultaneously with the jump in Bitcoin price in 2017, the relative strength index (RSI) had reached the level of 96, which indicates the over-optimism of traders in that period. These fast jumps in prices are usually not stable and often lead to a deep correction or a long period of price stabilization. This is exactly what happened after the end of the uptrend in 2017.

Bitcoin Price Plot
Bitcoin Price Plot

Bitcoin Price

The price of Bitcoin was always below the 2017 lows before reaching the $ 20,000 level in December 2020. This means that the market has been involved in the introduction of the recent uptrend for three years. The price jump in 2021 raised the relative strength index above the level of 91 in March. It was before the increase in sales pressure in the market. However, unlike in 2017, this time buyers defended support for the 20-month moving average (EMA).
This shows that traders’ attitudes remained positive after the fall in May, and some market participants were buying on the price floor after the fall. A few months later, another jump in Bitcoin reached took it to a high record of $ 69,000. However, buyers still failed to maintain their position. This means that some traders sell during price fluctuations.
In recent months, price corrections have once again brought Bitcoin closer to the 20-month moving average, and as the relative strength index position shows, it is likely to continue to decline in strength.
If sellers can lower prices below the 20-month moving average and maintain their position in that area, the price is likely to fall to the significant support of $ 28,800. Defending this level will be very important for buyers because breaking it can lead to a long-term consolidation period.
On the other hand, if the price starts a new uptrend from the current levels, buyers will try to reach the level of $ 69,000. The passage and closing of the price candle above this level can be a sign to resume the uptrend.

Bitcoin Price Plot
Bitcoin Price Plot

Bitcoin Price Prediction

As can be seen from the 1-week market view, buyers have managed to push the price above $ 64,899 twice. But they have failed to maintain their position above this level. This may have trapped traders in the bears’ trap, who have entered long positions (buying) after breaking this level.
The 20-week moving average is gradually declining and the relative strength index has entered the negative zone. The situation shows that the sellers are trying to take over the market again. Buyers’ efforts to maintain a simple 50-week moving average have been successful so far, But this effort was not enough to push the price above the 20-week moving average.

Market Pressure

The current situation could lead to an increase in the selling pressure in the market, and now sellers are trying to lower the price to the strong support of $ 39,600. Buyers have no choice but to defend this level. Breaking this level could drop the price to $ 28,732.
This could delay the start of the next phase of the market uptrend and push the price in the range of $ 28,732 to $ 69,000.
Conversely, if the price starts a new uptrend from the current levels and can overcome the 20-week moving average, buyers will once again have a chance to move above the resistance range between $ 64,899 to $ 69,000.
If they succeed, the acceleration is likely to increase, and the price could make its way to the $ 100,000 and $ 109,000 targets. The area in which sellers are likely to be active.
And we should add this to what we said, that if the breaking the $ 28,732 support could start the downtrend, in which case the $ 20,000 level will act as strong price support.

Bitcoin Price Plot
Bitcoin Price Plot

The Market Sentiment

In the 1-day Bitcoin market trend view, the price has been fluctuating in a bearish channel for almost a week. The slope of the moving averages is moving downward and the relative strength index is in the descending zone like the 1-week view. In general, it can be said that market control is in the sellers’ hands.
If prices continue to fall below current levels or move away from the 20-week moving average, it means that market sentiment is still declining and traders are looking for an opportunity to sell when prices jump. This move could be accompanied by the fall of Bitcoin to the price floor on December 4 at $ 42,333.
Buyers are supposed to defend this level because if this resistance level gets lost, the sellers will try to lower the price below the channel support, in which case the selling pressure in the market will increase.
The $ 39,600 to $ 37,300 range will act as strong price support; But if buyers fail to break the 20-day moving average, the downtrend is likely to continue at $ 28,800.

Bitcoin Resistance Level

bitcoin resistance

On the other hand, if the price rises and reaches above the resistance level of the channel ceiling, it is a sign of reducing the selling pressure in the market. In this case, buyers will try to reach the simple moving average of 50 days, which can be challenging for them this time as well.
Buyers should expect a break above the 50-day moving average and stay above this level to reach the $ 60,000 price target. This level is presented as strong resistance to price; But if it breaks, buyers can try to reach the historic high of $ 69,000.

Bitcoin price prediction in February 2022

BTC 2022 prediction shows that the cryptocurrency will grow well in February. Based on the reliable information and data that we observed, it was determined that the price of this cryptocurrency will reach 51903.49. We estimated the lowest price we see from Bitcoin until the end of February is estimated at $ 47,732.88.

Our last articles:

Are you planning to get a loan from Defi? Here are 3 threats that you need to know about.
What is Web 3.0?
Play and earn money; The best blockchain games.
What is a Pyramid scheme and how is it different from a Ponzi scheme?

Even amid crypto’s early-2022 jitters, some analysts still think Bitcoin at $100,000 is in reach

Bitcoin’s getting a drubbing this week as the Federal Reserve readies a removal of stimulus, but bulls are feeling as emboldened as ever.

The largest cryptocurrency by market value has shed about $80 billion since the start of the year amid a slump that’s brought it to its lowest levels since its early-December flash crash. But out have come predictions it can still reach the vaunted $100,000 level at some point this year.
It would have to more than double from current levels around $42,900 to arrive at that milestone. Analysts say it’s not that it can’t—it’s posted plenty of triple-digit annual returns over the past decade—but that the road ahead might be more difficult for cryptocurrencies with a more hawkish Fed.
“Cryptocurrencies benefited from the Fed’s massive liquidity injections since 2020,” said Matt Maley, chief market strategist for Miller Tabak + Co. “It pushed these assets too far, too fast.”
In conjunction with riskier assets like U.S. equities, Bitcoin and other digital assets tumbled Wednesday after minutes from a recent Fed meeting showed officials were willing to withdraw stimulus sooner than many had previously expected.
The release pointed to earlier and faster rate hikes by the central bank, which would increase the cost of capital throughout the economy. That has the potential to keep investors away from cryptocurrencies, many of which posted huge gains over the last two years amid amped-up stimulus.
But not everyone agrees that this environment is lousy for crypto. Bitcoin is a risk asset that’s evolving into a digital-reserve asset in a world going that way—and that has positive implications for its price, according to Bloomberg Intelligence’s Mike McGlone.
He wrote in a note that the coin is “heading toward $100,000,” he wrote in a note. “Cryptos are tops among the risky and speculative. If risk assets decline, it helps the Fed’s inflation fight. Becoming a global reserve asset, Bitcoin may be a primary beneficiary in that scenario.”
Still, that hasn’t stopped other industry participants such as Messari Inc. co-founder Ryan Selkis from poking fun at the basis of some of the sky-high predictions.

And earlier this week, Goldman Sachs analyst Zach Pandl wrote that Bitcoin could hit $100,000 if it continues to take market share from gold.
Bitcoin has, as of late, singing the tune of the stock market, with the 100-day correlation coefficient of the coin and the S&P 500 now standing at 0.44. That’s the highest such reading since the fourth quarter of 2020. A coefficient of 1 means the assets are moving in lockstep, while minus-1 would show they’re moving in opposite directions.
“Now that this stimulus is going to become less plentiful more quickly than the markets had been thinking, it makes sense that these assets are falling in tandem,” said Maley.
Lindsey Bell, chief markets and money strategist at Ally says investors were already jittery entering the year thanks to uncertainty over the Fed’s policy path.
“People are reassessing the risk they want to take,” she said by phone. It doesn’t help that the dollar has also strengthened, which serves as a reminder to crypto investors that it is “still the currency of the world and it remains very strong and it’s not going anywhere, and so you don’t need to hide your money under your mattress or in cryptocurrencies.”
Greg Bassuk, chief executive of AXS Investments, an asset manager that focuses on alternative investments, says Bitcoin should comprise a portion of an investor’s portfolio.
“We are very bullish on Bitcoin and digital assets cutting through all the noise, day today,” he said in an interview. “Digital assets will be treated longer-term like commodities, equities and bonds, and real estate, and other more traditional asset classes in the years to come.”
Our articles:

What is a Pyramid scheme and how is it different from a Ponzi scheme?

Are you planning to get a loan from Defi? Here are 3 threats that you need to know


Elon Musk : Bitcoin is useless!

In a podcast interview with Lex Friedman, Elon Musk reiterated in response to recent rumors that he was not Satoshi Nakamoto.
However, he believes that computer scientist and cryptographer Nick Szabo is more responsible for presenting the ideas that led to the creation of the world’s first cryptocurrency. Of course, Sabo has denied such a claim. “Mask,” he said.
He claims he is not Nakamoto, but I’m not so sure. In my opinion, he is most responsible for presenting the ideas that led to the creation of Bitcoin.

Bitcoin speed is low!

Because bitcoin is so long overdue, Musk believes that bitcoin’s cryptocurrency is a store of value for money and useless for daily payments. Musk went on to say that Dodge Quinn has a much higher trading capacity than the king of cryptocurrencies in the world, and at a lower cost.
Currently, if you want to make a transaction on the Bitcoin platform, the price will be very high, so it can not be used in purchases or other applications. Scalability and trading volume are not suitable for this either.
Due to poor internet infrastructure, low blockchain volume, and slow blockchain production in 2008, this was normal, but the current bitcoin speed is “ridiculously” slow.
When asked about the Dodge coin’s arrival on Mars from Mask, he said the Red Planet would have to use another coin because it would be difficult to sync transactions because of the speed of light.
The famous billionaire, who has a deep understanding of the concept of money because of his experience in creating PayPal, believes that the current financial system is very old. We are in 2021, but banks are still buying CPUs and running the very old COBOL code.
He added that the government is responsible for editing the money database, which allows them to print more money whenever they want. He believes that central banks can manipulate the value of money for different purposes, noting that cryptocurrencies can solve such problems.
Finally, the CEOs of Tesla and SpaceX introduce money as a database for proper allocation:
If you are on a remote island and do not have food to eat, all Bitcoins in the world can’t stop your hunger.

What was the most popular cryptocurrency in Russia in 2021?

the most popular cryptocurrency in Russia:
The Russian central bank allegedly said it wants to ban investments in cryptocurrencies in the country, seeing risks to financial stability in the rising number of crypto transactions.

The country’s financial kingpin did give digital currencies legal status in 2020, but it prohibited using them as a means of payment.
However, the chairman of the Duma Committee on Financial Markets, Anatoly Aksakov, said there was a very tough approach to the complete prohibition of cryptocurrencies, such as acquisition or ownership.

“There exists an approach where there must be appropriate crypto exchanges, where everything is legalized, transparent, and understandable to regulatory bodies,” he said.
“It would be easier for the Federal Tax Service of Russia to tax such exchange transactions.”
For now, Russian authorities prioritize the launching of a CBDC ruble and have enacted tough crackdowns on the private crypto sector, including banning mutual funds from investing in Bitcoin (BTC).
Most recent figures, however, suggest that Russians transact about $5bn each year in cryptocurrencies and that cryptocurrencies are a hedge for 46% of Russian retail investors.
According to a survey, cryptocurrency is the primary source of income for 12% of Russian-speaking crypto users, and more than 90% of the respondents expressed their desire to use digital coins as a means of payment.
Russia can boast many prominent names in the crypto world, including Vitalik Buterin and Igor Barinov.
Some of the other names associated are Aleksander Ivanov, founder of the Waves Platform; Sergei Chekriy and Yury Mukhin the two Russian entrepreneurs behind I-chain, while Alex Fork is the CEO of Fintech firm Humaniq.
Some of the most popular Russian cryptocurrencies, which need not be originated from Russia are:


Bitcoin is being widely used in Russia – 40% of the participants view cryptos like Bitcoin as a good long-term investment. People already can pay with Bitcoin for some hotels and restaurants and also cars and furniture, meaning it is being used as a payment medium.
According to a study by big data platform Brand Analytics, Bitcoin was the most popular cryptocurrency in Russia in 2021, outpacing coins such as Tether (USDT) and Litecoin (LTC) in terms of social media mentions.
Cryptocurrencies have been growing increasingly popular among Russian investors in recent years, with 77% of Russian investors preferring Bitcoin to gold in a survey last year.


Ethereum is the creation of Russian-born Vitalik Buterin and is one of the esteemed cryptocurrencies in the country.
Russia also introduced Ethereum blockchain in the voting system to make it more transparent.


Golos is a Russian cryptocurrency, which is the Russian version of STEEM coin, which is the most popular blockchain-based social network.
It was conceived and developed by Cyber Fund, a renowned Russian cryptocurrency organisation in late 2016.


Litecoin also is a part of the list, which has been extensively used in Russia.
According to analysts, people who cannot afford Bitcoins, get easily converted to buying Litecoins, as both are having similar properties.


Dogecoin became quite popular in 2018 when Russia allowed it as a payment option during the World Cup.
However, with the constant upgrading by Elon Musk, Dogecoin adoption kept rising in the country.

Axie Infinity; A platform to play and earn money in the metaverse

How to buy land in Metaverse; How to have virtual land?

Bitcoin Nears USD 50K, Ethereum Moves Higher, XRP and LUNA Rally

  • Bitcoin price is gaining pace above USD 49,000.
  • Ethereum is consolidating above USD 4,000, XRP jumped 8% and cleared USD 0.95.
  • LUNA and MIOTA are up over 11%.

Bitcoin price gained pace for a move above the USD 48,500 resistance zone. BTC even cleared the USD 49,200 zone and moved above USD 49,800 before correcting lower. It is currently (04:40 UTC) trading near USD 49,400 and it seems like the price could test USD 50,000 once again.

Similarly, most major altcoins are also gaining pace. ETH is consolidating above USD 4,000 after testing USD 4,100 and it might clear USD 4,120. XRP rallied 8% and there was a clear move above USD 0.92. ADA is testing the USD 1.30 resistance zone.

Total market capitalization

Bitcoin price

After a clear move above USD 47,500, bitcoin price was able to gain strength. BTC cleared the USD 48,500 and USD 49,200 resistance levels. The next resistance is near the USD 50,000 zone, above which the price could accelerate higher. In this case, the price may perhaps rise towards the USD 51,200 level.

On the downside, an initial support is near the USD 49,000 level. The next major support is near USD 48,500, below which the price may perhaps start a fresh decline.

Ethereum price

Ethereum price settled above USD 4,000 to move into a positive zone. ETH is rising and trading above USD 4,050. The next key resistance is near the USD 4,080 level, above which the price could even break USD 4,120. In this case, the price could test USD 4,200.

If there is a downside correction, the price might decline below USD 4,000. The next key support is near the USD 3,920 level, below which the price might test USD 3,850.

ADA, BNB, SOL, DOGE, and XRP price

Cardano (ADA) is up 3% and there was a clear move above USD 1.28. The price is now testing the USD 1.30 resistance. A successful break above USD 1.30 might send the price towards the USD 1.32 level.

Binance coin (BNB) is struggling to gain pace above the USD 535 level. The next major resistance is near the USD 550 level. A clear move above USD 550 might send the price towards the USD 565 level.

Solana (SOL) is trading above the USD 175 level. It is testing the USD 180 resistance, above which the bulls might aim a test of USD 188. The next major resistance for the bulls is near the USD 200 level.

DOGE is consolidating above the USD 0.170 level. The first key resistance is near the USD 0.175 level. A proper break above USD 0.175 might lead the price towards USD 0.188. If not, it may possibly decline towards the USD 0.165 level.

XRP price outperformed with a strong move above the USD 0.90 level. The bulls even pushed the price above USD 0.92 and USD 0.95. The next major resistance is near USD 1.00, above which the price could test USD 1.05.

Other altcoins market today

Multiple altcoins are up over 10%, including CRV, MIOTA, LUNA, GRT, LRC, MATIC, RUNE, FTM, AVAX, KDA, HBAR, ATOM, and NEAR. Out of these, LUNA rallied 12% and surpassed the USD 90 level. The price is now up by 54% in a week.

Overall, bitcoin price is moving higher towards USD 50,000. If BTC settles above USD 50,000, it could continue to rise towards the USD 51,200 level in the coming sessions.

Bitcoin is Struggling, But It’s Too Early to Say Bulls Have Given Up

Bitcoin failed to clear the $48,500 resistance zone against the US Dollar. BTC is sliding, but it could find bids near the $45,500 support zone.

  • Bitcoin is facing a strong resistance near the $48,000 and $48,500 levels.
  • The price is now trading below $48,000 and the 100 hourly simple moving average.
  • There is a major bearish trend line forming with resistance near $47,200 on the hourly chart of the BTC/USD pair (data feed from Kraken).
  • The pair could decline heavily if there is a clear break below the $45,500 support zone.

Bitcoin Price Faces Resistance Near $48,500

Bitcoin price started a recovery wave above the $46,500 resistance zone. BTC surpassed the $48,000 level, but it failed to gain strength above the $48,200 level.

A high was formed near $48,289 and the price is now correcting lower. It traded below the 50% Fib retracement level of the upward move from the $45,520 swing low to $48,289 high. Bitcoin price is now trading below $48,000 and the 100 hourly simple moving average.

An immediate resistance on the upside is near the $47,000 level. The first major resistance is near the $47,200 level and the 100 hourly SMA. There is also a major bearish trend line forming with resistance near $47,200 on the hourly chart of the BTC/USD pair.

Bitcoin price

Source: BTCUSD on

The next key resistance could be $47,500, above which the price might rise towards the $48,500 resistance. To continue higher, the price must gain strength for a move above the $48,500 level in the near term.

Dips Limited In BTC?

If bitcoin fails to clear the $47,500 resistance zone, it could extend decline. An immediate support on the downside is near the $46,500 level.

The 61.8% Fib retracement level of the upward move from the $45,520 swing low to $48,289 high is also near the $46,500 level. A downside break below the $46,500 level could push the price towards the $45,500 support. The next major support is near $45,000, below which there is a risk of a sharp decline towards the $43,200 level.

Technical indicators:

Hourly MACD – The MACD is slowly gaining pace in the bearish zone.

Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is currently below the 50 level.

Major Support Levels – $46,500, followed by $45,500.

Major Resistance Levels – $47,200, $47,500 and $48,500.

Bitcoin is the most searched cryptocurrency in Colombia

• Bitcoin is among the top ten internet search options in Colombia.• The most globally traded cryptocurrency raises its price to over 2 percent.

In Latin America, especially in Colombia, crypto adoption has increased greatly throughout 2021. A few days to saying goodbye to the vigorous year, reports indicate that Bitcoin has been one of Colombia’s main cryptos for virtual commerce.

With the second year of the Covid-19 pandemic, the South American has experienced a slight increase in crypto adoptions. But many people believe in the financial future offered by the token and the entire decentralized market.

Bitcoin advances within Colombia

Bitcoin will be the most used crypto by Colombians in 2021. The market leader crypto gained priority in the country after showing an ATH of $58,000 for March and eventually exceeding the figure to $61,000 in October. The appeal to BTC not only skyrocketed in Colombia but in its neighboring country Venezuela, which is going through a serious financial crisis.

While people viewed Bitcoin with priority, other exchanges came to South American territory to facilitate this decentralized investment. Binance has been a key player in the growth of crypto usage in Colombia, as have Coinbase and LocalBitcoin.

Regarding the restrictions on the token, Colombia has been very friendly from the beginning, giving way to a massive adoption among banks. Reports suggest that some Colombian banks accept the use of crypto but yearn to regulate their trading to ensure the safety of the crypto investors.

Payments with crypto are also advanced in South America, where it is already possible to cover bills with BTC or other tokens. This has made the average Colombian adapt to new technology and profit from trading or even crypto mining.

Search for information about BTC in the country

A field analysis showed that Bitcoin enters the top 10 of the most searched in Colombia. To this word are added searches such as “James Rodríguez,” a national soccer player, “Shakira,” the singer from Barranquilla, and “Lionel Messi,” an Argentine soccer player who is acclaimed worldwide. This shows that BTC enters the list of priorities for citizens who seek to nourish themselves with a lot of information about to use it correctly.

It is believed that at least 1 in 10 Colombians knows about Bitcoin, how to invest in the token, and what uses it can be given besides virtual transactions. This small attraction has recently caused the token to increase in value, causing it to move away from its bearish streak.

BTC is trading at $47,012, with a rise of 2.49 percent in the last 24 hours. BTC benefits from Colombian adoption and altcoins such as Ether that trades at $3,957, Binance Coin, with $531.21 in value; and Dogecoin, with $0.1727.

Anchorage Raises $350M to Expand Crypto Offerings

Anchorage Digital has raised $350 million in a funding round led by KKR.

U.S.-based digital assets firm Anchorage Digital has raised $350 million in a Series D funding round.

The firm shared details of the raise in a Wednesday blog post . It was led by investment company KKR, while Goldman Sachs, Alameda Research, Andreessen Horowitz, Apollo, and others also participated. The raise gives the firm a valuation of over $3 billion and follows a GIC-led $80 million Series C round, which took place in February 2021.

Diogo Mónica, the President and co-founder of Anchorage Digital, said of the raise:

“As more and more institutions look to add crypto services into their offerings, we find ourselves at an inflection point. This funding positions Anchorage Digital to meet the unprecedented institutional demand for this rapidly evolving market.”

Anchorage lets institutional players gain crypto exposure. It offers a range of services including custody, trading, and staking for crypto assets like Bitcoin and Ethereum.

Per the announcement, the firm plans to deploy the capital to expand its solutions catering to global financial and fintech companies. The freshly-raised capital will also be used to expand its team.

In January 2021, Anchorage made headlines when it became the first crypto firm to receive a banking charter from the Office of the Comptroller. It also helped Visa acquire its CryptoPunk NFT in August.

Anchorage’s funding news comes as vast sums of capital flood into the crypto space. Yesterday, NYDIG, another crypto firm targeting the institutional market, announced it had raised $1 billion in a funding round led by WestCap. The firm said it would use the funds to develop institutional-grade Bitcoin products.

Disclosure: At the time of writing, the author of this piece owned ETH and other cryptocurrencies.

Elon Musk is Time’s 2021 person of the year

TIME, one of the most prestigious magazines and news media in the world, chose Elon Musk as its face of 2021. In an interview with the magazine, he said he was not sure that  cryptocurrencies would one day replace Fiat currencies.

According to Coin Desk , Yesterday Time magazine chose Elon Musk as its man of 2021 . “It is doubtful that cryptocurrencies can one day replace Fiat currencies,” the world’s richest man told the magazine.

Time magazine referred to 2021 as “Elon’s Without Borders Year” and The reason for this nomination was the comments, activities and remarkable achievements of Mask, CEO of Tesla and SpaceX, in 2021.

Musk told Time that he thought cryptocurrency was an attractive field and that he could talk a lot about the nature of money as “an information system for the distribution of resources.” However, Musk said he doubted cryptocurrencies would one day replace Fiat currencies.

Elon Musk

Musk was recently named one of the most influential figures of Coin Desk due to its profound positive and negative effects on cryptocurrencies, especially the price of Bitcoin and Dogecoin, and was chosen as the face of the year in 2021.

Musk told the Time about his effective actions are often criticized :

Markets are always in motion, and I can say that [these movements] have no basis. So are my comments fundamentally different from the market movements that may occur anyway? I do not think so.

This is Why $69K Was Not The Top of This Bitcoin Cycle, PlanB Exlains

Bitcoin’s price has lost a lot of ground in the past few weeks. It’s down by $20,000 since the most recent peak of $69,000 in November. This has caused a lot of speculation in the cryptocurrency community whether the tides have turned again and if the bears have taken complete control.

PlanB, though, believes this is not the case and maintains that $69,000 was not the top of this halving cycle.

$69K Was Not The Top: PlanB

November is historically one of BTC’s best months, and the 2021 edition didn’t disappoint at first. The asset started the month at around $60,000 and less than two weeks later broke its previous all-time high and tapped $69,000 to set a new record. This meant that bitcoin was up by 140% since the start of the year.

This is where the situation started to change rapidly, and BTC found itself below $60,000 at the end of the month. The landscape further worsened last week when the primary cryptocurrency dumped by $16,000 in hours to $42,000. As of now, it stands around $49,000, which means it’s roughly 30% below the ATH.

Somewhat expectedly, such a substantial retracement in less than a month gave power to the critics who started referring to the $69,000 line as the cycle top and predicted an impending bear market.

However, PlanB doesn’t think so. The popular anonymous analyst, perhaps best known as the creator of the stock-to-flow model, recently asserted that a typical bear market means an 80% correction. In other words, this would put BTC’s price at $14,000, which is below the 2017 ATH of $20,000 and, more importantly, below the 200 weekly moving average.

As the chart below demonstrates, bitcoin has never dropped below the 200WMA, and PlanB believes it “will never happen.”

I don’t think $69K was the top for this halving cycle. If $69K were the top, than a typical bear market -80% drawdown would bring the bottom to $14K .. below 2017 ATH ($20K) and below 200WMA ($18K). Nah, that has never happened and IMO will never happen.

— PlanB (@100trillionUSD) December 10, 2021

What About Bitcoin’s Growing Adoption?

Back in 2017 and especially in 2018, BTC indeed entered a year-long bear market in which its price dropped by approximately 80%. However, there’re some very significant differences between now and then, particularly in terms of adoption.

There were no giant corporations, such as Tesla, Square (Block), and MicroStrategy that had poured billions of dollars into the asset and held it on their balance sheets. There were no exchange-traded products, whether spot or futures, anywhere.

There were very few institutions that had dipped their toes, while their number frequently increases now. There wasn’t a country that had legalized BTC. There were no banks that acknowledged the cryptocurrency or wanted to do anything with it at all, let alone filing for BTC ETFs of their own.

Separately, the 2017 rally was mainly driven by retail investors who didn’t want to miss out on any quick profits from the new hot thing (for them) called bitcoin. Now, though, retail seems far behind, while the aforementioned institutions, large corporations, or even banks seem to be the main driving forces.

Last but not least, bitcoin is getting widely adopted in terms of a payment method across countless merchants. While it’s still uncertain how many people actually prefer to spend their coins rather than HODL them, the growing adoption is quite undeniable.

All of the above gives more merit to PlanB’s claim that it will be more challenging for the bears to bring the price down 80% from the recent all-time high.