The present market situation is more than baffling. Bitcoin in a very short time has jumped from around $6000 to cling the $13,800 mark before falling drastically to stay around $11,600.
Bitcoin today is focused on clinging the $20,000 with the way the digital currency is moving. BTC reached its 52 weeks high of $13,800, according to CoinMarketCap.
According to CoinDesk data, however, Bitcoin had touched $13,900 before witnessing a massive pullback which resulted in the digital currency falling to $11,200.
To this end, senior analyst at eToro, Mati Greenspan, has given some fundamentals to watch out for in case Bitcoin is going to reach $100,000.
Fundamental Factors to Look out for
With the rising speculation coming with a rising big surge and slight correction, Mati Greenspan is sure there may be retracement of 20 to 30 percent as seen in the largest bull market ever witnessed.
Speaking on Trader’s Take on Block TV with Asher Westropp-Evans, he said what the market is witnessing at the moment, is small compared to what’s expected to happen.
Greenspan said with the bullish trend, it is normal a chain reaction occur since buyers do not mind dropping anything in Bitcoin, which later result in them selling more when the price goes higher.
Greenspan said traders need to put their wealth in different assets to not loose in the long run. He mentioned that coins like Binance Coin, Litecoin, NEO, and Ethereum are performing excellently, saying they are being aided by Bitcoin.
The analyst mentioned that if the uptick in Google search goes on for a long term, it is easy to deduce that the market is just in the early stage of the parabolic cycle. Mati Greenspan said Libra, although not the only positive driver, but it is having a huge effect on Bitcoin.
He said the present data shows that those who understand Bitcoin are the ones buying more. Greenspan said huge outflow from Tether indicates that familiar faces buying more Bitcoin are behind the present uptick. The market analyst said retail and institutional investors are behind the present growth as well.
Greenspan said the transaction rate of 2017 was very small, the Bitcoin network was clogged, showing that transaction time became longer.
He said the same thing has to happen if at all Bitcoin will go higher. At least, it may be taking Bitcoin a day to perfect transactions. The reason, he said, is due to high traffic which results into congestion. If this persist, Bitcoin has the ground to move higher in the market.
Finalizing, Mati Greespan did not give a tangible price prediction, but said he sees Bitcoin price between a $100 and $100,000.
Is Facebook Behind Bitcoin’s Price Surge?
Some sections of analyst at some point have pointed that the growth is being fueled by the news of Facebook’s cryptocurrency plan.
Senior market analyst at Oanda, Craig Erlam, is sure Bitcoin’s ongoing price surge is being driven by Facebook’s Coin. He said the launch of Libra is a great catalyst for Bitcoin, which is climbing towards its all-time high.
The growth, if linked to Facebook, may be a result of the hype around Facebook’s Libra, which turned out to be a StableCoin, referenced to not have any investment value since it is focused on being a global means of exchange alone.