Price Analysis: Bitcoin Could Hit $67,500 in March
The current cryptocurrency crash could be over sooner than you think as Bitcoin prepares to blow its previous all time high out of the water. After reaching a peak of $20,000 on December 17, the value of Bitcoin has dipped by 69% to a low of $6200. Due to Bitcoin’s big role in the cryptocurrency market, most other coins have also followed this trend. This has caused huge amounts of panic as investors have watched the value of their portfolios more than halve. If past trends are anything to go off though, there is no reason to panic – in fact, you should be celebrating this massive investment opportunity.
In the past, Bitcoin has been through numerous crashes and has always come back stronger. The table below shows all of the corrections where Bitcoin dipped more than 30% from its highest price at the time. Including the recent dip, this has happened 13 times in total with 6 occurring in 2017 alone.
The data shows that these corrections are usually short-lived, with most lasting less than few weeks. Most importantly, the correction length isn’t correlated with the severity of the dip; Bitcoin has recovered from an 83% dip in 3 days, while also taking 35 days to recover from a 39% dip. Therefore, although a 69% drop in value is rather significant, it could be back to $20,000 within days.
We can also see that Bitcoin is frequently reaching new highs. Just looking at the corrections in 2017, the longest time between two price peaks was the 82 days from June to September. If the current correction follows this pattern, then we should see a new Bitcoin peak by the 9th of March. This prediction seems promising as Bitcoin has already started recovering from its low of $6200.
After each of these dips, the next Bitcoin peak price was usually at least 150% of the previous all time high – sometimes it was as much as 337%. If this trend continues after the current dip, Bitcoin could reach as high as $67,500 before its next correction!
So don’t let the dip scare you. Bitcoin has recovered before and will recover again. The worst thing you can do during a dip is sell your cryptocurrencies and cement your losses. If you have money to invest, you could even take advantage of the dip. Follow this guide to investing in cryptocurrencies and get what you can while its cheap – this might be the last time you see prices this low!