Bitcoin Price Forecast for 2022
Since its last ATH of $67,566 on 08/11/2021, Bitcoin has had an overall bearish trend, and the longevity of the decrease in Bitcoin value has shaken crypto investors’ confidence. Furthermore, with the outbreak of the Ukrainian war and the resulting domino effect in various aspects, such as constraints on energy resources, some reports are bold enough to announce the ousting of cryptocurrencies from the global markets. On the other hand, some analysts state that such volatilities are old news, and even with the present downfall in the cryptocurrency market, Bitcoin is twice as valuable as it was in 2020. In this article, we briefly review Bitcoin’s status and its future value.
Similar Downfalls in BTC Chart
The current situation is not unprecedented in Bitcoin history. On 12/11/2017, when Bitcoin was worth around $6,000, a bullish trend started, and on 12/16/2017, the BTC price hit $19,497, more than triple the value in less than 40 days. But then BTC price began to fluctuate downward for a year until it hit $3,252 on 12/61/2018, when the price set off to ascend again. The all-time BTC chart is promising in this regard; there are several historical points where the price has either plummeted or skyrocketed. In other words, the current suppression of market bulls will ultimately lead to bears’ exhaustion and a change in the price trend. But the question is, when is the next ATH, and how much?
Reasons for the BTC Downfall
It was predicted that the BTC price would hit $100,000 in the first quarter of 2022, but in the second quarter’s last days, the BTC price has not even approached the previous ATH. Market analysts have attributed the descent to factors such as restrictive policies from world economic powers such as the US and China regarding the prevalence of cryptocurrencies, and the increasing popularity of metaverse and altcoins. Furthermore, when the Terra UST was depegged from the US dollar, its value crashed and brought down its sister token, Luna. The Luna Foundation Guard (LFG), an institute established to monitor and protect UST and Luna values, sold its Bitcoin reserve to restore the balance between the two tokens but in vain. LFG’s Bitcoin sell-off distributed a large amount of BTC in the market, further pulling down the BTC value.
Bitcoin’s Future Price
Still, experts believe the BTC bearish sentiment is temporary, and demand for altcoins will eventually wear out, and investors will turn to BTC as its circulating supply is approaching the max supply. Also, most price forecasts show that the next Bitcoin ATH will hit $100,000 to $150,000 by the end of 2022. However, more realistic conjectures suggest that Bitcoin will continue to rise in price but hitting the next ATH is not foreseeable for two or three years. For example, the PricePrediction AI assistant has predicted an average value of $38,288 for 2022 and a $54,570 average value for 2023. In addition, CoinPriceForecast has predicted that Bitcoin will reach $47,000 by the end of 2022.
The cryptocurrency market is highly volatile, and financial advisors warn investors against dedicating large amounts of their capital to crypto investments. Moreover, all price predictions are based on fundamental and technical analyses of the market’s history, and the market’s past cannot guarantee the future direction of the market. Regarding Bitcoin, we should say it is sitting on a solid foundation, and we cannot interpret the BTC’s current price as a sign of deterioration in the cryptocurrency market. As a matter of fact, most price predictions point to a bright future ahead for Bitcoin, but they are unsure of the time of the next ATH.
Source: The Pipsafe Team