Bitcoin To Bounce Back? Analyst Predicts $90,000 After $58K Drop

Christian Encila

1 year ago

3 mins read

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According to Lark Davis, a prominent crypto expert, the current decline in Bitcoin (BTC) may be a transient setback. Davis is predicting a substantial increase in the value of Bitcoin in the upcoming weeks, aiming for it to reach $90,000 by the end of the year. This positive perspective arises amidst a surge of confidence over institutional investment and the possible introduction of Bitcoin exchange-traded funds (ETFs).

Institutional Investors Set To Supercharge The Market

Davis anticipates a substantial influx of institutional funds into the cryptocurrency market, which will serve as a significant driving force behind the projected market upswing. He highlights Standard Chartered Bank’s forecast of Bitcoin surging to an astonishing $100,000 by August as evidence of increasing institutional trust.Although he presents a little more modest estimate of $90,000, his primary emphasis is on the long-term consequences of this institutional infusion.

Davis’s optimistic outlook is further bolstered by the introduction of Bitcoin ETFs. These investment instruments would enable conventional investors to have exposure to Bitcoin without the intricacies of directly obtaining and safeguarding the cryptocurrency. Davis asserts that the convenience of entry provided by ETFs may entice a substantial influx of fresh funds, hence driving Bitcoin’s price even higher.

Beyond Bitcoin: A Banner Year For Altcoins?

Davis’s optimistic perspective extends beyond Bitcoin, embracing a substantial percentage of the altcoin industry. He expects a significant increase in investment into Ethereum (ETH) due to the forthcoming introduction of spot ETFs. Solana (SOL) is a cryptocurrency that Davis is closely monitoring because to its prominent role in blockchain advancement and its high market momentum, which positions it as a formidable candidate for expansion.

BTC is now trading at $57,774. Chart: TradingView

Technical Hurdles Remain: Can The Bulls Break Through?

Although Davis’s projections are optimistic, technical signs indicate that there may be some obstacles to overcome before the desired outcome is achieved. The latest price rejection at the level of $63,956 and the bearish signals from technical indicators such as the Relative Strength Index (RSI) indicate the possibility of encountering some short-term difficulties.

Nevertheless, Davis maintains a positive outlook. Should Bitcoin successfully surpass the resistance level of $72,000, it has the ability to initiate a bullish trend in the fourth quarter, which may have significant repercussions throughout the whole cryptocurrency market.

A Climb Or A Cliffhanger?

NewsBTC’s review of Glassnode’s data shows a surge in BTC’s new addresses, suggesting a possible spike in user interest. In order for the bulls to make significant progress, it is essential that the price closes above the resistance level of $63,950 on a daily basis. This has the potential to cause a 5% increase and a reevaluation of the $67,140 resistance level on a weekly basis.

If momentum indicators such as the RSI and Awesome Oscillator exhibit positive signals, there is a possibility of a further 6% increase in price, reaching $71,200, which is the weekly resistance level.

If the price falls below $58,300 and forms a lower bottom, it might indicate a continued pessimistic attitude. This could potentially result in a 3% decrease and a return to the May low of $56,520

Featured image from Getty Images, chart from TradingView

Christian Encila

They say journalists never truly clock out. But for Christian, that's not just a metaphor, it's a lifestyle. By day, he navigates the ever-shifting tides of the cryptocurrency market, wielding words like a seasoned editor and crafting articles that decipher the jargon for the masses. When the PC goes on hibernate mode, however, his pursuits take a more mechanical (and sometimes philosophical) turn.

Christian's journey with the written word began long before the age of Bitcoin. In the hallowed halls of academia, he honed his craft as a feature writer for his college paper. This early love for storytelling paved the way for a successful stint as an editor at a data engineering firm, where his first-month essay win funded a months-long supply of doggie and kitty treats – a testament to his dedication to his furry companions (more on that later).

Christian then roamed the world of journalism, working at newspapers in Canada and even South Korea. He finally settled down at a local news giant in his hometown in the Philippines for a decade, becoming a total news junkie. But then, something new caught his eye: cryptocurrency. It was like a treasure hunt mixed with storytelling - right up his alley!

So, he landed a killer gig at NewsBTC, where he's one of the go-to guys for all things crypto. He breaks down this confusing stuff into bite-sized pieces, making it easy for anyone to understand (he salutes his management team for teaching him this skill).

Think Christian's all work and no play? Not a chance! When he's not at his computer, you'll find him indulging his passion for motorbikes. A true gearhead, Christian loves tinkering with his bike and savoring the joy of the open road on his 320-cc Yamaha R3. Once a speed demon who hit 120mph (a feat he vowed never to repeat), he now prefers leisurely rides along the coast, enjoying the wind in his thinning hair.

Speaking of chill, Christian's got a crew of furry friends waiting for him at home. Two cats and a dog. He swears cats are way smarter than dogs (sorry, Grizzly), but he adores them all anyway. Apparently, watching his pets just chillin’ helps him analyze and write meticulously formatted articles even better.

Here's the thing about this guy: He works a lot, but he keeps himself fueled by enough coffee to make it through the day - and some seriously delicious (Filipino) food. He says a delectable meal is the secret ingredient to a killer article. And after a long day of crypto crusading, he unwinds with some rum (mixed with milk) while watching slapstick movies.

Looking ahead, Christian sees a bright future with NewsBTC. He says he sees himself privileged to be part of an awesome organization, sharing his expertise and passion with a community he values, and fellow editors - and bosses - he deeply respects.

So, the next time you tread into the world of cryptocurrency, remember the man behind the words – the crypto crusader, the grease monkey, and the feline philosopher, all rolled into one.

Disclaimer: The information found on NewsBTC is for educational purposes only. It does not represent the opinions of NewsBTC on whether to buy, sell or hold any investments and naturally investing carries risks. You are advised to conduct your own research before making any investment decisions. Use information provided on this website entirely at your own risk.