Bitcoin Price Prediction: A bleak first half of 2023?

Bitcoin price in recent days has touched $ 25,000 since August 2022.

In recent days, not only Bitcoin and many other cryptocurrencies on the market have also recorded a positive upward trend.

This past week, lower volatility in stocks and bonds, lower oil prices, and a weaker dollar were factors in bitcoin's favor.

In addition, crypto also benefits from no discounted cash flows, making it less susceptible to higher exchange rates than stocks and less sensitive to upcoming adverse economic news. .

Bitcoin price in recent days has touched $ 25,000 since August 2022. Last year, nearly $1.4 trillion was “wiped out” from the crypto market following turmoil that led to bankruptcies, failures of projects and companies. Yuya Hasegawa, an analyst at Japanese crypto firm Bitbank, said there was a shift from so-called altcoins to bitcoin following the legal action.

“The strong rally this past week was a bit unexpected but one thing stood out: it was led by bitcoin,” Hasegawa said. “The current regulatory environment certainly feels like a headwind for the crypto market, but it does appear that some coins are moving from altcoins to bitcoin, as bitcoin is the only cryptocurrency that is regulated. Chairman of the SEC labeled it a 'commodity'. As a result, bitcoin's market dominance is increasing."

Jim Wyckoff, senior technical analyst at Kitco, commented that: “The bulls still have a general tendency to buy in the short term, as shown in the lower-traded March Bitcoin futures contract. When the market is open.”

However, some experts and institutions predict that Bitcoin is only reacting slightly to the new CPI released last week, the actual price of Bitcoin may fall further. With interest rates and inflation remaining high in many countries, the risky asset channel may become less attractive to investors.

JPMorgan strategist points to the production cost of Bitcoin as a way to predict how much the cryptocurrency can fall. The cost of producing Bitcoin is mainly electricity to run the miners.

"Currently, production costs are at $15,000, but are likely to return to as low as $13,000 as during the summer months," they said.

13,000 USD is the level that many other experts are also predicting. That's the price he's been waiting for, said David Adams, Portfolio Manager at King River Digital Asset Fund.

Regarding market movements in 2023, researches as well as funds share the same opinion, the first half of 2023 the investment market like crypto is quite gloomy.

The second half of 2023 will be the right time for the market to grow again and many new trends will appear in 2024.

A representative of Coin98 Finance said that, for long-term investors, in 2023 and 2024, they should consider and observe potential projects to choose the right time to enter. With Coin98, all we are doing is preparing for the next cycle with a belief that the market will return in 2025.

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