Bitcoin Price Plunge To $12,000 Is Not Foreseeable – Analyst Explains Why

Opeyemi Sule

1 year ago

3 mins read

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The Bitcoin price performance was one of the brightest stories in the crypto market in the month of October. While some crypto analysts currently have bearish projections for the premier cryptocurrency, others have maintained a positive stance for BTC’s performance in November and beyond.

A crypto analyst known by the pseudonym Mags on the X (formerly Twitter) platform recently offered an insight into Bitcoin’s price action, quelling bearish sentiments around the pioneer cryptocurrency.

The Current Cycle Witnessed Its Own Black Swan Event

Bitcoin enthusiasts and analysts have been closely monitoring the coin’s price movements, with some skeptics anticipating a significant drop to as low as $12,000. Mags, on the other hand, said on X that the recent slow but steady upward trajectory of Bitcoin suggests a different narrative.

The crypto analyst posited that the current Bitcoin price action resembles a phase of vertical accumulation, hinting at the potential for a parabolic surge in the near future. Mags claimed that people waiting for a substantial price decline seem to be in disbelief.

Furthermore, Mags suggested that most bearish projections are centered around the potential occurrence of a black swan event. For context, a black swan event refers to an unpredictable incident that is beyond what is normally expected of a situation and has potentially severe consequences.

However, the analyst believes that the anticipated black swan event has already occurred. While the black swan event in the 2021 bull cycle was the COVID-19-induced market crash, the current bull cycle witnessed the FTX exchange collapse as its own black swan event.

As a result of FTX’s collapse, Bitcoin price plunged to as low as $15,500. Nevertheless, BTC’s price has been on a gradual ascent and is back up by more than 120% since the market crash. This steady price rise reflects the cryptocurrency’s robust nature and its ability to bounce back from unforeseen setbacks.

Bitcoin Price Overview

The Bitcoin price has been on a tear in the past weeks, rallying by more than 25% in the last month. However, it is worth noting that the premier cryptocurrency has somewhat slowed down in the past few days, with only a 1.9% price increase in the past week.

As of this writing, Bitcoin is valued at $34,765, reflecting a 1.5% price jump in the past 24 hours. Although the market leader breached the $35,000 mark and traveled to a high of $35,700 in the past week, it has struggled to maintain momentum and stay above $35,000.

Bitcoin price at $34,758 on the daily timeframe | Source: BTCUSDT chart on TradingView

Featured image from iStock, chart from TradingView

Opeyemi Sule

Opeyemi is a proficient writer and enthusiast in the exciting and unique cryptocurrency realm. While the digital asset industry was not his first choice, he has remained absolutely drawn since making a foray into the space over two years. Now, Opeyemi takes pride in creating unique pieces unraveling the complexities of blockchain technology and sharing insights on the latest trends in the world of cryptocurrencies.

Opeyemi savors his attraction to the crypto market, which explains why he spends the better parts of his day looking through different price charts. “Looking” is a rather simple way to describe analyzing and interpreting various price patterns and chart formations. However, it appears that is not Opeyemi’s favorite part - in fact, far from it.

Being able to connect what happens on a price chart to on-chain movements and blockchain activities is what keeps Opeyemi ticking. “This emphasizes the intricacies of blockchain technology and the cryptocurrency market,” he would say. Most importantly, Opeyemi thinks of any market insights as the gospel, while recognizing that he is only a messenger.

When he is not clicking away at his keyboard, Opeyemi is most definitely listening to music, playing games, reading a book, or scrolling through X. He likes to think he is not loyal to a particular genre of music, which can be true on many days. However, the fast-rising Afrobeats genre is a staple in Opeyemi’s Spotify Daily Mix.

Meanwhile, Opeyemi is a voracious reader who enjoys a wide category of books - ranging from science fiction, fantasy, and historical, to even romance. He believes that authors like George R. R. Martin and J. K.
Rowling are the greatest of all time when it comes to putting pen to paper. Opeyemi believes his reading of the Harry Potter series twice is proof of that.

Indeed, Opeyemi enjoys spending most of his time within the four walls of his home. However, he also sometimes finds solace in the company of his friends at a bar, a restaurant, or even on a stroll. In essence, Opeyemi’s ambivert (haha! been searching for an opportunity to use the word to describe myself) nature makes him a social chameleon who is able to quickly adapt to different settings.

Opeyemi recognizes the need to constantly develop oneself in order to stay afloat in a competitive and ever-evolving market like crypto. For this reason, he is always in learning mode, ready to pick up the slightest lesson from every situation. Opeyemi is efficient and likes to deliver all that is required of him in time - he believes that “whatever is worth doing at all is worth doing well.” Hence, you will always find him striving to be better.

Ultimately, Opeyemi is a good writer and an even better person who is trying to shed light on an exciting world phenomenon - cryptocurrency. He goes to bed every day with a smile of satisfaction on his face, knowing that he has done his bit of the holy assignment - spreading the crypto gospel to the rest of the world.

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