Daniel Harrison Bitcoin, the dominant cryptocurrency on the market in 2022, has had a rough ride overall. The beginning of the year 2023 has gotten off to a good start thanks to the fact that the coin’s value on the foreign exchange market has increased by more than 22 percent in the past week. Will the price of bitcoin continue to rise?
Investors and traders are pessimistic about the short-term prospects of the Bitcoin price and the Ethereum price due to the recent surge in liquidations in light of longs and the turbulence in the equity market. Are you one of the numerous people who are interested in the price prediction for Bitcoin in 2023?
Put on your safety belts, because this article is going to decipher the possible Bitcoin price prediction for 2023–2025 and the years that will follow.
Investors in cryptocurrencies have had a difficult year overall. FTX, a cryptocurrency exchange that was formerly regarded as being moderately reliable and was managed by one of the most well-known figures in the cryptocurrency business, recently collapsed for unknown reasons. Earlier in 2022, there was the failure of a “stablecoin” called TerraUSD as well as the insolvency of a cryptocurrency lending company called Voyager. (A cryptocurrency whose value is linked to that of another asset, such as the U.S. dollar, is known as a stablecoin.)
In addition to a general decline in people’s faith in cryptocurrencies, there has been a price decline that mirrors that of the stock market in response to rising inflation and interest rates.
On Thursday, the price of Bitcoin was trading at $16,607, which is a decrease of 65% since the beginning of the year. According to data provided by analytics firm IntoTheBlock, it is not surprising that around half of bitcoin investors would incur a loss in capital if they sold their holdings at this time.
This happens as a result of the meteoric rise in popularity that cryptocurrencies such as bitcoin and ether experienced in 2021.
In light of this, what do you think the price of the most popular cryptocurrency will be in the year 2023? What follows is the consensus of knowledgeable people.
Will the price of bitcoin continue to decrease in 2023?
Mark Mobius, co-founder of Mobius Capital Partners, told Bloomberg that he anticipated the price of bitcoin to fall to $10,000 per coin in the midst of the pandemonium that ensued after the collapse of the FTX exchange in the early days of the crisis. He made the observation that even if “crypto is here to stay,” he would not put any of his client’s money or any of his own money in bitcoin because it is “too hazardous.”
Mobius later provided further elaboration on his estimate during an interview with CNBC. He attributed the predicted losses to rising interest rates as well as increased investor concerns regarding the cryptocurrency industry. He stated that although he anticipates the price of bitcoin to remain around $17,000, it could decrease to $10,000 in the following year.
Matthew Sigel, who is in charge of research on digital assets at the investment firm VanEck, is anticipating a price objective that is not dissimilar. In the first three months of the next year, he forecasts that the price of the cryptocurrency would drop to somewhere between $10,000 and $12,000 per coin.
Sigel attributes the fall to struggling crypto miners as the cause. “With Bitcoin mining generally unprofitable given recent rising electricity bills and lower Bitcoin prices,” he wrote earlier this month, “we believe that many miners will restructure or merge.”
However, the prices of cryptocurrencies continue to be volatile.
It is important to keep in mind that bitcoin is one of the assets that is most susceptible to price fluctuations. Prices are subject to significant fluctuations, and analysts do not always agree on the best course of action.
Madeline Hume, a senior research analyst at Morningstar, argues that due to the volatile nature of digital assets, it is difficult to forecast when prices will stabilise or begin to rise.
“Bitcoin and cryptocurrencies in general are facing a double whammy in the form of a crypto winter that has already begun in earnest and a tough macroeconomic climate that is on the horizon “Hume warns. “Even though cryptocurrency has experienced a significant decline since its all-time high in November 2021, we won’t be able to determine where the bottom is until after we’ve passed it because there are no fundamental valuations for these assets. There are also no signs that a thaw is on the horizon.
The second half of the year is expected to bring better results, according to Sigel. In the third and fourth quarters of 2023, according to Sigel’s forecast, the price of bitcoin may theoretically increase back up to $30,000. This would be possible as inflation begins to lessen, the price of oil stabilises, and the conflict in Ukraine (potentially) winds down.
A year from now, the price of bitcoin can be anywhere between $5,000 to $250,000, according to the forecasts of several specialists. Others, however, believe it will go even lower. The analysts at Ark Investment Management, which is managed by the well-known investor Cathie Wood and has experts in financial markets, are sticking by their estimate that the value of one bitcoin will exceed one million dollars by the year 2030.
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