Bitcoin Price is Down, but Expert Tells Us Why It Will Soar Past $11,000
The market is looking less-than-healthy at this stage.
Bitcoin dipped in price on Wednesday, but experts predict it will recover soon. The world’s largest cryptocurrency dropped to just $9,093, representing a 2.4 percent drop in price over the 24-hour period to reach a market cap of $154.58 billion. It seems like the end of an otherwise-strong month for the coin, but it’s not over yet.
“Bitcoin’s recent price rise is just the first step in an eventual recovery. Many of the underlying fundamentals supporting a higher price remain strong, and demand is rising again,” Trevor Gerszt, CEO, of cryptocurrency investment firm Coin IRA, tells Inverse. “We could see some short-term resistance and profit-taking at $10,000, but once the price pushes through that level, and especially once it gets above $11,000, we see the price continuing to rise from there over the rest of the year.”
Bitcoin's price has steadily risen over the past seven days.
Gerszt is not alone in this analysis. David Drake, chairman and founder of investment firm LDJ Captial, said last month that Wall Street will come into the market in further droves, and predicted a rise to $30,000. Thomas Lee, co-founder and head of research at Fundstrat, has also predicted a rise to $25,000 as the United States tax day has now passed.
Not everyone thinks the market will continue to rise from here. Pointing to historical data that shows Bitcoin typically drops around 80 to 90 percent after reaching an all-time high, Dominik Zynis, co-founder of Wings, told Inverse this week that he predicts a drop to between $2,000 to $3,000 — around 90 percent less than the $19,343 all-time high reached in December — before rising again to reach the $30,000 mark next year.
All eyes are on Bitcoin and related coins to see how they move in the marketplace. Bitcoin Cash, a fork of Bitcoin started in August 2017, is set to fork again on May 15 in a bid to increase block size. The change could bring new money to the cryptocurrency market.
It has yet to reach the dizzying heights of December, but the signs are good that Bitcoin will move past its previous all-time high at some point.
