And while some predict that the value of the world's first cryptocurrency will reach $250,000 by mid-2023, even if the year is difficult for cryptocurrencies due to industry failures and falling prices, the bitcoin exchange rate is currently debating whether to go to the next annual minimum in the vicinity of $10,000. At least, this is what the business-minded Tim Draper anticipates.
It should be noted that Draper boldly predicted in the summer of this year that the price would reach $250,000 by the end of 2022, which differs slightly from the actual price of $16,800. Draper "changed his shoes" in early November, as big players are known to do and predicted that this wouldn't occur until June 2023 at the Web Summit technology conference in Lisbon. In a recent interview, Draper stated, "I extended my forecast by six months due to the FTX crash, and $250,000 is still my number."
Of course, Draper's prediction requires bitcoin to increase by nearly 1400% from its current price of about $17,000. The cryptocurrency has already lost more than 60% of its value since the start of this year, a serious drawdown level that has only occasionally been seen throughout its entire history. Digital currency prices are currently declining as a result of the Fed's tightening of monetary policy and the domino effect of large industrial companies, such as Terra, Celsius, and FTX, declaring bankruptcy. Additionally, the industry's already serious liquidity crisis has been made worse by FTX's demise.
The lender Genesis and cryptocurrency exchange Gemini are two businesses reportedly impacted by the effects of FTX's bankruptcy.
Bitcoin's volatility is currently at a historical low, and it doesn't appear that anything will change until the end of the year. As a result of the thin market, speculators may attempt to drive the price of bitcoin even lower (to $10,000, for instance), which would trigger a significant liquidation of stop orders in the futures market.
Many people today still hold the view that bitcoin will eventually reach this level. More recently, seasoned investor Mark Mobius predicted that bitcoin prices could fall to $10,000 next year, a 40% decrease from current levels. It's important to note that the co-founder of Mobius Capital Partners made a fairly accurate prediction this year when he predicted that the price of bitcoin would be close to $20,000 by the year's end.
Nevertheless, Draper is confident that bitcoin, the biggest cryptocurrency in the world, will increase in value in 2019. Draper stated, "I anticipate a flight to a high-quality, decentralized cryptocurrency like bitcoin, as well as the relict status of some of the weaker coins." One of the best-known investors in Silicon Valley is Draper, the founder of Draper Associates. He placed profitable bets on tech companies like Tesla.
Regarding the technical picture of bitcoin today, everything came to a complete stop after it bounced off the crucial level of $16,600. The resistance of $17,400 restricts growth.
In the event of renewed pressure, the emphasis will be on protecting the exact amount of $16,600, as failure to do so by the sellers would deal the asset a fairly significant blow. By putting more pressure on bitcoin, a direct path to $15,560 and $14,650 will become available. The world's first cryptocurrency will "drop" if these levels are broken somewhere between $14,370 and $13,950. Once bitcoin has been released above $17,460, only then can the discussion turn to bringing the situation back to equilibrium and ending the "panic" mode. Breaking through this region will cause it to retrace to a significant resistance at $18,101 and provide an opening for a test of $18,720.
The breakdown of the closest resistance level of $1,344 is what ether buyers are concentrating on. This will be sufficient to cause substantial market changes and halt a new bearish wave. Fixing the amount above $1,344 will put an end to the tense situation and return the money to the ether with the possibility of a correction in the hope of updating the maximum of $1,466. The $1,571 region will be a further target. The recently formed level of $1,073 will come into play when the pressure on the trading instrument resumes and the support of $1,198 breaks. Its innovation will raise the trading instrument's price to at least $999. For those who own cryptocurrencies, it will be very painful below $934 and $876.
