Bear with us, but could the current low price for Bitcoin mean that Bitcoin is inadvertently more likely to hit $20,000.00?
Put it this way, with the price of Bitcoin sinking to new lows, it is becoming cheaper and cheaper to buy a slice of Bitcoin action. This in turn will not only encourage new investment, it marks a key point in which institutional investment could begin to ‘experiment’ in cryptocurrency investment.
Of course, large institutions won’t invest when the markets look this bleak, but I guess what we are trying to say here is that with prices low, the current climate provides large institutions a chance to experiment with less risky figures. In short, they can put less in just to test how a more significant investment might pan out.
So, with new low prices inspiring investment, we can assume this will lead to eventual price rises. Bitcoin won’t reach $20,000.00 with standard base level investment going in, but, if what we are saying with regards to institutional investors is right, then we could very well see Bitcoin pick up some pace, with the backing of investment from banks, governments and other financially rich sources.
$20,000.00 is a target price for Bitcoin, as, this marks Bitcoins all time high, a value that is now alleged to have come as a result of Tether manipulation. Whilst we can’t be sure if this really is the case, hopefully next time round, the market surge will be more organic. If institutional investment does in turn push the price of Bitcoin up to $20,000.00, hopefully this time when it drops back down, it won’t lose quite as much value, given that the institutional backing will guarantee a more regular source of income for Bitcoin.
Please bear in mind that this is just speculative and is not investment advice. Yes, the low price of Bitcoin is inspiring some to begin to buy in, yet you can never guarantee that this investment will make the return you’re after. Cryptocurrencies are volatile and therefore, it’s a risky business to be in.
Trade well, do your research and watch Bitcoin. We can be pretty sure that when Bitcoin does eventually begin to climb, the rest of the markets won’t be far behind it.