In June, when Bitcoin was soaring above $10,000, nearly every trader and their mother expected the cryptocurrency to continue rocketing higher. Indeed, at the time, the asset was poised to take on its previous all-time high while emotions were riding high — a perfect combination for the price to go vertical.
Though, one analyst incessantly called for rationality to return to the crypto markets, claiming that this surge above $10,000 was a clear overextension of BTC’s long-term growth curve. He went as far as to say that Bitcoin was poised to return to $6,700. Of course, the analyst was laughed at, calling the prediction “irrational” and “FUD.”
On Nov. 22, however, the analyst, “Dave the Wave,” was proven right, with the cryptocurrency falling to $6,700 on that date.
His latest analysis, which used the Elliot Wave analysis, suggests that Bitcoin may see some bearish price action in the near term, but will soon restart its long-term bull trend. Dave noted in a recent tweet that the Elliot Waves he extrapolated from the chart of BTC suggest that BTC will bottom in the low-$6,000s by around February 2020, then surge to $25,000 or so — some 250% higher than current prices — by the start of 2021.
Dave’s Elliot Wave analysis lines up with the opinions of two prominent investment fund managers in the crypto industry: Travis Kling, current CIO of Ikigai Asset Management and former Point 72 portfolio manager, and Mike Novogratz of Galaxy Digital. Both of these prominent Bitcoin analysts have asserted in recent interviews that they believe that the leading cryptocurrency will top $20,000 and hit a new all-time high by the early-2021 region.
Speaking to CNN’s Julia Chatterley in a recent segment for “First Move” in October, the former Wall Streeter turned cryptocurrency fund manager and investor, Novogratz said that he expects for Bitcoin to hit $20,000 in 18 months’ time. This would represent a 180% move from current levels if it plays out.
This came shortly after Kling said that by late-2020 or early-2021 — around 18 months from now — the Bitcoin price is likely to have surmounted its previous all-time high to establish a new one.
This is purportedly backed by fundamentals. Per previous reports from Ethereum World News, prominent investors believe that events like the Bitcoin block reward reduction (which will amount to a negative supply shock for the market) and the adoption of the Lightning Network and other prominent Bitcoin-based applications will push this market higher due to increased demand for an increasingly scarce asset.