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Bitcoin (BTC) has been trading consecutively above the $20,500 benchmark for at least four days in a row as the premier digital currency has continued to drive broader bullish market momentum. Riding on its recent price action, renowned Bloomberg Senior Commodity Strategist Mike McGlone believes the bottom has finally set in for the cryptocurrency.
Taking to his Twitter page, McGlone said the top cryptocurrency might have reached its bottom or is forming a bouncing bear pattern, either of which he said Bloomberg currently has a bias toward. According to him, there seems to be a correlation between the bottom that was attained in 2019 when the cryptocurrency bottomed out at $5,000.
Bitcoin $20,000 vs. $5,000 in 2019: A Base or Fighting the Fed. One of the best-performing assets in 2023 - #Bitcoin - may have reached a bottom or is a bouncing bear and our bias is both, with a big difference from a similar pattern at the start of 2019: The #Fed is tightening pic.twitter.com/DDbyVMIXe2— Mike McGlone (@mikemcglone11) January 18, 2023
As noted by the top market analyst, there is one major difference between the 2019 bottom and one that is being experienced at this time that may further aid the price resurgence. This difference, he said, is the fact that the Federal Reserve is still tightening its monetary policies with the Fed Fund Futures up 3.5%.
His argument consists of the fact that the recent growth rate of Bitcoin implies the coin has divergent strength versus interest rate hikes.
Bitcoin price predictions
As the flagship digital currency in the crypto ecosystem, its anchor role as a major go-to asset in the industry remains a highlight for pundits in the space.
Following Bitcoin's 22% weekly sustenance, Ben Armstrong, also known as BitBoy Crypto, believes the coin will grow toward the $25K to $30K range in the mid- to long term. Compared to prior projections, this estimate is very conservative as market leaders like Anthony Scaramucci, the founder and managing partner at SkyBridge Capital, have said he expects the coin's price to touch $50,000 to $100,000 in the next two to three years.
Besides Scaramucci, a handful of other pundits consider 2023 to mark the start of the bull run for Bitcoin.