Crypto community bets Bitcoin to trade at $53,000 by the end of December



The price of Bitcoin (BTC) is expected to trade around $53,000 by the end of December, according to the latest predictions of the CoinMarketCap crypto community.

Crypto data statistics platform CoinMarketCap, recently launched a new product that enables users to vote on cryptocurrency prices for their favorite digital assets each month. In particular, the new tool, ‘Price Estimates,’ allows users to make price predictions for the next six months and see what other people think about them in real-time. 

Interestingly, the crypto community’s social Bitcoin price forecasts indicate a median price of $53,040 on December 30, 2021, which is $12,187 (or 18.68%) less than the current Bitcoin price of $65,227. At the time of publication, 80,468 individuals have voted to arrive at an estimate of the median price.

Social Bitcoin Price Estimates November, December, January. Source: CoinMarketCap.com

Furthermore, despite many prominent cryptocurrency analysts predicting the start of the second leg of a bull run, forecasts suggest that Bitcoin’s price will continue to fall by the end of December and the beginning of January, continuing into next year.

Crypto analyst Bitcoin price forecast

Notably, the prediction by the community vastly differs from that of pseudonymous crypto trading analyst Plan B, who had predicted that BTC would be trading at $98,000 by the end of November and around $135,000 by the end of December, based on his stock-to-flow model.

Indeed, historical trends have suggested that the price of Bitcoin may reach parabolic levels before the end of this year, but any so-called black swan event might shatter investors’ hopes of new all-time highs. 

For instance, yesterday’s concerns that China Evergrande Group looming default on a $148 million bond payment sent shockwaves across the cryptocurrency markets, which fell an average of 5% in value.

Price prediction submission deadline

Regarding the information provided that formulated the median price, it is based on user submissions collated by CoinMarketCap, and the deadline for submitting forecasts for each month’s end is the 21st of every month. 

By uniformly combining the market’s estimations, the new function aims to make it easier for traders to measure the trading sentiment of different assets in this market. 

Rather than asking around in different crypto price discussion chat groups, users may see the estimated averages for every asset. 

Interestingly, users may now compare asset price performance to market expectations in a manner similar to sell-side equities research reports in conventional financial markets. Charts depicting the estimated trend and submission distribution are included in the data summary.

Currently, Bitcoin is trading at $65,227, down 2.34% on the day after reaching a new all-time high on November 10; nevertheless, the asset is up 5.40% over the last seven days with a market cap of over $1.2 trillion.


Source link

You May Also Like