The options market suggests there’s a rather low probability Bitcoin price will set fresh highs in 2020
Bitcoin price is making great efforts to rise above the $ 10,000 mark. However, this momentum was halted as soon as the BitMEX exchange faced a shutdown. But do not worry too much because, as AZCoin News reported, BitMEX has returned to regular operation. However, this incident caused Bitcoin to form yet another rejection at just below the key $ 10,000 region.
Many hope the Bitcoin price will exceed $ 10,000 by the end of 2020
At press time, the price of Bitcoin is fluctuating around $ 9,689, about the level it has been trading for days. Growing fundamental strength stemming from Bitcoin’s recent block may reward halving, and increased rates of an accumulation from investors will help boost the crypto higher.
However, to make a Bitcoin forecast is not easy. In particular, for futures contracts maturing at the end of December 2020, there’s a 9% probability that BTC is trading above $ 20,000 by the end of the year.
However, according to statistics from contracts maturing at the end of May 2020, all were inclined to bet that the Bitcoin price would rise to around $ 10,000. For June, September, and December maturity contracts, roughly half of traders believe Bitcoin will be trading above $ 10,000.
Regarding the near future, Mohit Sorout, a founding partner at Bitazu Capital, said Bitcoin prices could be poised to “teleport” to $ 11,000. The chart he references shows that the crypto posted a potent response to its $ 9,200 support and is now testing a key trendline.
It’s almost as if $btc wants to get teleported to $11k pic.twitter.com/EA0NMXTwsR
— Mohit Sorout ? (@singhsoro) May 19, 2020
Factors capable of pushing BTC prices up
The main and absolute factor is a massive multi-year wedge formation. Accordingly, it will help Bitcoin breakout of this pattern and lead BTC price up to $ 40,000 or more.
Bitcoin Porn and The Perfect Set Up… $BTC #BITCOIN
Chart 1 – The Perfect Wedge.
If you use classic charting techniques, it gives you a price target of around $40,000…but 1/2 pic.twitter.com/Q2pYRJtnIP
— Raoul Pal (@RaoulGMI) May 8, 2020
Besides, other models also predict that Bitcoin will soon be significantly higher. And of course, we cannot ignore Bitcoin’s Stock-to-Flow model with the prediction that supply and demand dynamics will help push BTC to surpass $ 100,000 by 2021.
Read more:
- Market Wrap: Bitcoin Continues Consolidating As Bulls Vie To Break $10,000 Resistance
- Recent Comments From Fed Chairman Seem To Have Further Vindicated Bitcoin Immense Value