At the 4-hour TF, the most significant level for bitcoin was $18,500. Still, yesterday, thanks to the inflation report, it broke through $17,582, which is already a modest victory given the current situation. The growth of bitcoin could continue for some time, reaching a value of $20,400. Reminding you once more, the "bearish" trend and the flat after the decline do not preclude bitcoin from, in theory, experiencing growth. As a result, an increase of several thousand dollars is very real. Another question is when the current collapse will end, and a new one will start, as the fundamentals of the cryptocurrency market still need to be in its favor.
For a long time, there has been a debate between crypto enthusiasts and critics about what is better: bitcoin or gold? In their report, Goldman Sachs analysts responded to this query. According to them, gold has an unquestionable advantage over "digital gold" in the long run. According to the report, the price of bitcoin entirely depends on the potential advantages for the investor and the rate of global cryptocurrency adoption in the future. As a result, changes in interest rates have a big impact on the price of bitcoin. The world's central banks have been actively raising key rates over the past year, which has caused a significant decline in speculative positions in gold and bitcoin. However, the price of bitcoin has decreased by 75% while the value of gold has remained relatively stable for the current year. Again, the question is raised: Do investors need a tool that can lose three-quarters of its value in less than a year? Is such an asset suitable for basic equity storage?
Analysts also point out that most holders keep their bitcoins as investments. In other words, they think bitcoin will increase in price once again. Moreover, the central banks' high rates will slow down the potential growth of cryptocurrency in the upcoming years. Although it is not currently the case, according to Goldman Sachs experts, bitcoin volatility will continue to be high until more applications for the currency are discovered. Because financial conditions are expected to remain difficult in the upcoming years, bank analysts do not anticipate a significant increase in demand for bitcoin. Bitcoin does not have as many applications as gold. Gold is purchased for reasons other than future income or capital preservation. As a result, it has much greater price stability and is safer from an investment standpoint.
The "bitcoin" quotes attempt to form a flimsy upward trend on the 4-hour timeframe, and even an upward trend line has developed. It is weak, like the recent "bitcoin" activity. However, a new sales signal with a target price of $12,426 can be viewed as a result of the consolidation of quotes below it.
