Bitcoin Price Prediction 2022

Bitcoin, the original cryptocurrency, is made possible by blockchain technology, a method of generating and tracking digital assets. When Bitcoin is doing well, other cryptos are likely to be doing well. When Bitcoin’s doing poorly, other cryptos are likely also suffering. Nobody, however, seems to agree on the price of Bitcoin in the future.

Why 2021 Was a Good Year for Bitcoin

Over 2021, Bitcoin enjoyed a steep rise in its market value. At the start of the year, a single coin was valued at $32,000, and by April that number had doubled. Traders were optimistic that wider acceptance of Bitcoin by merchants and big banks would support the price.

However, the promise outran the reality — there was still no way to use Bitcoin for much of anything except speculative, risky trading. A decline in the stock market in late 2021, and a fall in highly valued growth stocks, carried cryptocurrencies down as well. Bitcoin finished 2021 at about $47,300.

The Risk-Off Trade

Bitcoin’s price continued to fall in early 2022, as did the stock market. Investors turned to assets that perform well in a time of a slowing economy, higher inflation and rising interest rates.

As cryptocurrency is still widely seen as a risky, speculative asset, this “risk-off” trade brought Bitcoin down to about $36,000 in late February 2022This represents a loss of nearly half of the value Bitcoin reached at its November 2021 peak of $69,000, though has seen some recovery in late March 2022, at about $47,345.

Concerns over the high electricity use associated with Bitcoin mining, and the banning of cryptocurrency transactions by China, also weighed on Bitcoin’s value.

Good To Know

Robert Breedlove, CEO of Parallax Digital, might be the most optimistic of all analysts on Bitcoin. Breedlove predicts a price of $12.5 million by 203, seeing the main driver of this run-up as high inflation. With fiat currency losing its value, investors may turn to what they perceive as a safer haven in digital money.

Expanding Investment and Payment Use

Nevertheless, as more companies adopt Bitcoin as a method of payment, its value should stabilize. Tesla, the first major company to accept Bitcoin, was later joined by other corporations, including Microsoft, AT&T, Starbucks, PayPal and Amazon.

In addition, as more platforms make room for Bitcoin trading, the market should expand among individual traders and investors. While Robinhood, Coinbase and Kraken all allow the purchase of crypto, big brokerages such as Schwab, Fidelity and TD Ameritrade allow their clients exposure to the crypto market. These companies offer trading in coin trusts and ETFs, exchange-traded mutual funds that hold crypto assets.

What Is the Future of Bitcoin? Whales Dive In

The future price of Bitcoin depends on whether digital currencies can serve as useful financial assets. There was little support for this concept among financial newsmakers in the early years, but some once-skeptical major investors have come around.

Buffet and Others Now Believers

Warren Buffett, whose Berkshire Hathaway company has rewarded investors with tremendous returns over decades, once described cryptocurrency as “rat poison squared,” and swore he would never touch it. But by purchasing NuBank, a digital “neobank” involved in the crypto space, Buffet has given Bitcoin a secondhand vote of confidence.

Lloyd Blankfein, former chairman of Goldman Sachs, has announced that he’s “evolving” on Bitcoin and other cryptocurrencies. Jack Dorsey, founder of Twitter, resigned his job as CEO of that company to run Block, a payment processing leader that is now developing new digital currency applications.

Adoption by these and other corporate leaders should support a reversal in Bitcoin and a higher value by the end of 2022.

What’s Will Bitcoin Be Worth in 2023? Educated Guesses

Several experts in the Bitcoin space are optimistic about future price trends. In October 2021, Jurrien Timmer, a director at Fidelity Investments, gave a Bitcoin price prediction of $100,000 by 2023. The Bloomberg financial news service forecasts a Bitcoin price of $400,000, and megabank JP Morgan, which has developed its own cryptocurrency for its clients, marks Bitcoin at $146,000 over the long term.

Ian Balina is the founder of Token Metrics, a crypto research firm. Balina sees Bitcoin in a down cycle due to general investor pessimism on risk assets, but he also sees a benefit from the development of Web 3, a new blockchain-based internet.

More practical uses of Bitcoin and cryptocurrencies are coming online. When trading isn’t the only thing you can do with them — except for some digital shopping options — the value of these new assets should increase.

Information is accurate as of March 30, 2022.

This article originally appeared on GOBankingRates.Com: Bitcoin Price Prediction 2022

Bitcoin and cryptocurrencies have bounced back over the last week, with the crypto market adding some $600 billion since its January lows as traders brace for a $10 trillion earthquake.

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MORE FROM FORBESBitcoin And Crypto Now Braced For A $10 Trillion Earthquake As Ethereum, BNB, XRP, Solana And Cardano SoarBy null

Bitcoin and etheruem still make up 60% of the combined cryptocurrency market capitalization despite ... [+] their price leads losing ground to smaller coins over the last year.

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The bitcoin price has come within touching distance of $50,000 per bitcoin for the first time since late December. Meanwhile, ethereum, the second-largest cryptocurrency after bitcoin, is on the cusp of a massive upgrade that some think could turbo-charge the ethereum price.

Now, one bullish bitcoin investor has said fear of missing out (FOMO) and bitcoin's fundamentals could drive the price over $50,000, while ethereum could be facing a "supply squeeze" that pushes its price higher.

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"Bitcoin is up nearly 25% in the last 10 days, smashing through the $35,000-$45,000 band where it has been lodged since January," Nigel Green, the chief executive of financial advisory company deVere Group, said in emailed comments.

"It's now edging nearer to the important $50,000 level. Should it also surge through this key price marker, we expect the current bull run would become supercharged as crypto FOMO would kick in—as it typically does when the bitcoin price shoots up."

Green also pointed to the "inherent value of digital, borderless, global currencies for trade and commerce purposes in our increasingly digitalised economies in which businesses operate in more than one jurisdiction," as potentially pushing bitcoin higher.

Russia's invasion of Ukraine and subsequent sanctions placed on the country have propelled bitcoin into the spotlight over the last few weeks with some sanctioned individuals reportedly turning to bitcoin and even a Russian official saying the country would be willing to accept bitcoin as payment on international markets.

Elsewhere, trading data suggests institutional investors could be gearing up to enter the bitcoin market.

"This is now becoming clear even to institutional investors—including credit unions, banks, large funds such as mutual or hedge funds, venture capital funds, insurance companies, and pension funds—as well as governments and multinational corporations," added Green.

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The bitcoin price has rocketed almost 15% over the last month, helping ethereum and other smaller ... [+] cryptocurrencies make gains.

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As the bitcoin price nudges $50,000, data shows ethereum could be on the brink of a supply squeeze with the number of new ether, coins that power the ethereum blockchain, coming on to the market falling as more are "burned."

"After peaking on March 12, the net daily emissions appear to be decreasing as the demand for the network increases," IntoTheBlock, a blockchain data provider, said in a Telegram broadcast first reported by Coindesk. "Ethereum has not had a deflationary day since February 2, but this might change soon."

Ethereum is gearing up to a long-awaited migration from proof-of-work, the validation model used by bitcoin, to proof-of-stake—expected to help the network run more efficiently and use less electricity.

The ethereum network began burning coins last year, with more coins sometimes being burnt than are distributed to so-called miners who verify transactions on the blockchain. After the transition to proof-of-stake, expected within months, ethereum holders will instead "stake" their coins to confirm transactions.

Top 3 Price Prediction Bitcoin, Ethereum, Ripple: Crypto Search For Support With Global Markets On The Back Foot

Bitcoin price stands to shed at least 3% of market value, dropping below $46,000.

Ethereum price undergoes rejection and is set to fall back towards $3,000.

XRP price traps bulls with bears on the cusp of performing a bull trap towards below $0.8000

Bitcoin price, Ethereum and other cryptocurrencies are currently just off the highs of March and looking solid on positive news and a breakthrough in the peace talks between Russia and Ukraine. But sentiment has shifted during the European session on Wednesday, following data showing inflation in some countries in the eurozone approaching double digits, and this has pulled markets' attention back to the problem of rising price pressures. With EURUSD off the lows, and equity markets tanking, a significant tailwind that was helping cryptocurrencies could be set to fade and even turn into a headwind, as cold water is dampening any further beliefs of a truce or peace deal.

Bitcoin price underwent double rejection and is set to drop 3% as bears take control briefly

Bitcoin (BTC) price looks heavy as bulls could not maximise the relief rally on Tuesday. Instead, they got rejected twice against the 200-day Simple Moving Average (SMA) around $48,413.27 and even a close above the monthly R1 at $47,851.97 proved to be too much. With morale amongst bulls fading, expect to see more and more profit-taking that will trigger a spiral to the downside.

Thus, BTC price stands to look for support where bulls will need to step in not to let their rally be broken. Seeing the steepness of the move in the past few days, expect to see a decline back to either $45,261.84 or $44,088.73. Two levels that were already marked up in the past have proven they were a challenge to break above, so the current drop in price action would be a good test to see if they hold any support in return now.

BTC/USD daily chart

BTC/USD daily chart

As talks continue once again, market expectations are set to increase, and investors will want to see more guarantees than just a headline reading things are going to be fine. Bulls and investors will now probably only be prepared to jump in when a cease-fire is guaranteed and a solid, detailed deal is on the table. That could see the price jumping above $50,000 towards $50,0019.29 as bulls pierce through the 200-day SMA, and $48,760.92 is taken out.

Ethereum price hits curb at 200-day SMA and see bulls getting squeezed against the trend line

Ethereum (ETH) price was set for a steep trajectory towards $5,000.00, but instead, the past few hours have been proven to be a challenge for them as cold water was poured on global market sentiment. The ASIA PAC session indices tanked over 1% after the Nasdaq closed off yesterday with a similar loss. When one of the current technical supportive elements breaks, expect to see a flight to safe havens with investors pulling their money out of Ethereum price.

ETH price is still supported by $3,391.52, the monthly R1 resistance and the green ascending trend line – all three very close to one another. Expect to see pressure mounting further throughout the day, resulting in a break to the downside. When ETH price slips below the green ascending trend line, a drop of around 10% will be seen before bulls step in at around $3,018.55 – not only to defend the 3,000.00 psychological level but also to defend morale as a too-large correction would spook investors out of ETH.

ETH/USD daily chart

ETH/USD daily chart

A false break could see bulls rush in more quickly to defend the rally turning it into a bear trap. That would see an influx of more bulls and the price pop to $3,687.17 as the demand on the buy-side enlarges even further. With this move, the room is open for a rally up to $5,000.00 in the coming weeks.

XRP price undergoes consolidation as market sentiment shifts to risk-off

Ripple (XRP) price has bulls popping the champagne corks on Monday as the price pierced through the 200-day SMA above $0.90. That party got underway a bit too early as markets began to doubt if the news on Tuesday was an actual breakthrough, as opposed to a feign by Russia to enable a reshuffle in its military actions. Forty-eight hours later, it looks to be the latter as troops move towards the Donbass and promises to ease up on bombing and shelling have not been kept on the field.

XRP price keeps investors puzzled, which is reflected in the price action, with XRP price hovering between $0.8390 and $0.8791. From there, XRP price could still go either way, but seeing the reaction in the Nasdaq last night, and the drop in the Hang Seng and Topix this morning, expect to see XRP price moving to the downside. That would mean a break below $0.8390 and XRP price shedding value towards $0.7843, as no actual anchor points sit to the downside.

XRP/USD daily chart

XRP/USD daily chart

As the price already rebounded once-off $0.8390, a second test could be proven the correct one and see bulls jumping into XRP price, ramping up price towards – and punching through $0.8791. The 200-day SMA is just a few inches away and could be broken to the upside as the dollar looks to be fading for a third straight day. That would see XRP strengthening all the way up towards $1.00.

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