Analyst: Bitcoin to $100K by EOY 2021“won’t happen”

Analyst: Bitcoin to $100K by EOY 2021“won’t happen”

By - min read
  • Digifox CEO Nicholas Merten believes Bitcoin could hit the six-figure value in 2022
  • Bitcoin needs to grow by over $660 billion in a little over a month if it's to hit the figure
  • But BTC soared by 40% in October and similar spikes on the monthly timeline have been seen in the past

One of the most popular predictions for Bitcoin price in 2021 is that the flagship cryptocurrency is likely to easily top $100,000, with the six-figure level hit by end of the year.

The bullish outlook remains across the market, even as BTC price flips negative amid massive profit-taking on the back of an impressive run to highs of $69,000 in early November.

BTC to $100 “easily” achievable, just not maybe in 2021

Nicholas Merten, the founder and CEO of Digifox Finance has downplayed the prospects of Bitcoin rallying to the highly desired level this year. However, he does note that it’s entirely possible for the benchmark cryptocurrency, currently changing hands around $60,180, to reach the landmark in early 2022.

Here is what Merten had to say about Bitcoin’s prospects for 2021:

Merten, who also created the popular YouTube crypto channel DataDash, says that for Bitcoin to achieve the $100k price tag, it would need to add more than $660 billion to its market cap.

Bitcoin currently has a market valuation of $1.13 trillion and would need to see significant growth in the next one or so months to bring into play potential runs to $100k per bitcoin.

Bitcoin drawdown  catalysed by negative news and ETF rejection

Enthusiasm around Bitcoin following its Taproot upgrade has been dampened by news around Twitter’s move not to invest in crypto and SEC’s rejection of VanEck’s Bitcoin ETF application. Sentiment has stalled south in the past 24 hours and could sink further if sell-off pressure pushes BTC below support around $58,000.

Bulls point to a number of potential catalysts for a new crypto bull run.

Notably, Bitcoin price at $60k means a new rally in the region of 65% would get bulls close to the target. Bitcoin price grew 54% and 40% in November and December 2017 respectively, and after the 2018 bear market, its value jumped over 60% in May 2019. Most recently, bulls managed 40% as BTC surged from $44,000 to $67,000 in October. Price triggers and catalysts may vary in these cases, but it shows new gains are possible.

Bitcoin has lost about 15% of its value from the $69k level, and full-time trader and crypto analyst Michael van de Poppe says this could be followed by another drawdown.

The digital gold, a moniker for the top crypto for its comparisons with gold as a store of value, has tested support below $60,000 multiple times in the past 48 hours.