Before $50,000, Bitcoin (BTC) Must Be Robust, Add 10.1 Percent

Dalmas Ngetich

1 year ago

2 mins read

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Bitcoin prices buy momentum strong, add 10.1 percent
Prices ought to expand 10X in the next bull wave for BTC’s market cap to surge past $1 trillion

At spot rates, Bitcoin’s overall valuation is far from $1 trillion Chris Burniske projects. While we don’t have the time frames, prices must increase 10X to hit those levels. Even so, this will happen in lock-steps with next targets at $6,000.

Bitcoin Price Analysis

Fundamentals

If historical prices are anything to go by, then Bitcoin (BTC) market cap is on its way to $1 trillion. That is according to an analysis by Chris Burniske, a crypto venture capitalist and partner at Placeholder. Basing his observations on past prices, Chris is of the view that in every bull leg, Bitcoin (BTC) market cap increase ten folds.

The first wave in 2016 took its overall valuation to $10 billion, and in 2018, Bitcoin’s market cap peaked at around $100 billion. Since prices are printing series of higher highs bolstered by an upbeat market, the next leg up would, therefore, propel the market cap of the most valuable coin to $1 trillion. At that valuation, BTC would change hands at $50,000.

At spot rates, that is a 10X increment, an attractive proposition for investors who had to contend with a 75 percent drop during last year’s winter. However, for Bitcoin to reach these astronomic valuations, Jeff Sprecher, the chairman of NYSE, believes that the coin must evolve into a perfect store of value with robust infrastructure and a good market structure that can handle a surge in demand:

“Bitcoin does not have a good market structure. Even for Bitcoin, different markets are posting lots of different prices. And you can pay an up to 6 percent spread to exchange dollars for Bitcoin, meaning Bitcoin needs to rise by as much 6 percent before you break even.”

Candlestick Arrangement

Up 10.1 percent in the last week adding 4.8 percent in the previous day, Bitcoin (BTC) only lags Binance coin (BNB) up 24.8 percent from last week’s close.

Because of this exemplary performance, BTC buyers are back and firm above $5,500 meaning risk-averse traders can load up on undervaluation with targets at $6,000 as mentioned in our last BTC/USD trade plans.

Besides price, the underlying buy momentum is strong now that BTC did find support at the 38.2 percent Fibonacci retracement level of the week ending Apr 6. As a result, every retest is another buying opportunity confirming buyers of Apr-2.

Technical Indicators

By reversing losses of Apr-11, the double bar bear reversal pattern of Apr 10-11 no longer holds. As a result, bulls are in control thanks to today’s uptick in participation. As aforementioned, every dip would be another buying opportunity as long as prices are above the $5,300-400 zone.

Chart courtesy of Trading View

Dalmas Ngetich

Dalmas, a seasoned crypto reporter, brings a unique perspective to the industry. His specialization in NFTs, blockchain, DeFi, and blockchain news for NewsBTC, combined with a background in mechanical engineering and over a decade of experience in journalism, has allowed him to craft over 10,000 news and feature articles over the past eight years. His diverse range of topics, including technology, Forex, and finance, reflects his comprehensive understanding of the crypto landscape.

His technical expertise and analytical skills have been recognized and featured by leading news outlets such as Investing.com, CoinTelegraph, Entrepreneur, Forbes, and other authority sites. Notably, he broke key news, including the Ripple and MoneyGram partnership, cementing his position as a thought leader in crypto.
The news exploded. Over 100,000 people devoured this meticulously crafted report, from seasoned investors to curious newcomers. His analysis wasn't just dry facts and figures; it crackled with insight, dissecting the implications of the partnership and its potential impact on the future of finance.

His deep understanding of the financial markets, technological advancements, and blockchain developments has made him a respected voice in the industry.

Dalmas is also the founder of BTC-Pulse, a crypto news site, further demonstrating his commitment to the field. He firmly believes that DeFi and NFTs are here to stay and will continue to drive financial inclusion.

Coming from Nairobi, Kenya, it is easy to see the source of his inspiration: Across Africa, millions lack access to traditional banks. Remote villages, limited documentation, and high minimum balances create insurmountable barriers.

DeFi, not just Maker or Aave, for example, but think of Bitcoin and USDT, cuts out the middleman. Forget banks with their limitations.
Even so, DeFi isn't a magic solution. The continent still struggles with reliable internet access, and educational campaigns highlighting the benefits of this wonderful solution are insufficient. Moreover, even for those interested, understanding DeFi can look like learning a new language.

Dalmas is here to help make the tech easy to understand and digestible, even for beginners.
The story of DeFi in Africa is still being written. Challenges abound, but the promise of a more inclusive financial future is a powerful motivator. With innovation and collaboration, Dalmas firmly believes that DeFi could become the key to unlocking Africa's full economic potential.
This possibility and its immense value motivate Dalmas to continue breaking key DeFi innovations and more across the globe. His engineering background further enhances his ability to deliver well-thought-out pieces that blend technical insight with clear, impactful reporting.

Beyond his professional achievements, Dalmas is deeply passionate about technology and politics. Policies drive adoption, and being at the forefront and keeping up with how they evolve is crucial for the sphere to mature.

When Dalmas is not closely monitoring the latest crypto events, he can be found in nature, exploring the picturesque countryside, and traveling with his family and friends. His love for adventure and discovery perfectly complements his investigative and reporting skills.
You can connect with Dalmas on X: @Dalmas_Ngetich, or contact him on Telegram @Dalmas_Ngetich.