Bitcoin had a rollercoaster 2020, crashing to lows of $3,850 due to panic selling amid the pandemic. The coin then rocketed 9,900% to highs around $42,000 in an extraordinary rally that has surprised even the most bullish of crypto enthusiasts.
Bitcoin is now showing gains of almost 13% for 2021 after a pullback. Price predictions for the rest of the year are varied. Investment bank JP Morgan has said that a price of $146k is a possible target based on technical factors, while another investor prefers to use the planets as a guide.
Bitcoin investor and astrologer Maren Altman has been following the movements in Bitcoin for almost a year and has built up her Tik Tok followers to 1 million in the process. Altman recently told her followers to watch for a correction around January 11th and BTC dropped 20% on that very day. Her analysis was based on the planet Saturn crossing Mercury. For the inexperienced, Mercury represents Bitcoin’s price data and Saturn is a restricting indicator.
Altman gave her outlook for 2021, telling Reuters:
“I see some favorable indicators at the end of the month and especially February and early March. However, getting into mid-March, I see a big correction. Mid-April is also really less optimistic. May is bullish.“
Big Investment Banks Agree
Using a more traditional approach, analysts at investment bank Citi have suggested an ultimate target of $318,000 for Bitcoin, while JPMorgan predicted a Bitcoin price of $146,000.
Both of these banks are looking at supply and demand factors with institutional investors taking an interest in the coin, which has a limited supply of 18 million coins. The banks are also pointing to the potential for further retail investors playing the market via ETF tracker funds.
The meteoric rise in BTC over the last year has been based on a rush of professional investors joining the crypto sector after PayPal announced it would begin accepting the coin in its merchant stores. The investment bank predictions would suggest that this trend is in its early stages and new investors will be chasing a more limited supply of BTC.
For the year ahead Bitcoin may see a further correction as the planets are said to predict, but there should be a large line of buyers awaiting the dip. The next big target for BTC would be the $60,000 level, but it will likely need to see continued highs in the stock market, alongside a weaker US dollar.
Investors could also consider Litecoin, which tracked Bitcoin’s “dump and pump” move with lows of $25 and highs above $180. Despite this rally, LTC is still well below its all-time highs at $375, which were set in December 2017.
Disclaimer: information contained herein is provided without considering your personal circumstances, therefore should not be construed as financial advice, investment recommendation or an offer of, or solicitation for, any transactions in cryptocurrencies.