With the ravaging COVID-19 pandemic and the global economy that is crumbling before our eyes, both retail and institutional investors have been looking for ways to park their capital in assets that promise good returns in the middle and long-term future. A precious metal like gold is a fine option, though that particular market could be inaccessible to some due to the high entry barrier.
At the same time, more and more people come to realize that buying and holding (or trading) Bitcoin (BTC), even a fraction of it, is one of safest bets against the failing economy, despite the inherent volatility of the cryptocurrency. That’s why there are fewer of those who wonder if Bitcoin is a good investment, compared even to 2017.
The BTC price has lately become the hot-button topic since the forefather of all cryptocurrencies is making headway in revisiting the Bitcoin’s highest price level at $20,000, established on December 17, 2017. However, a wise investor should always think far ahead and ask himself or herself what Bitcoin will be worth in 5 years. We would also like to offer our BTC price prediction for the next 5 and 10 years, taking into account the Bitcoin price history and its fundamental value.
A flash analysis of the immediate situation on the Bitcoin market
Needless to say that ever since PayPal announced that it’s stepping into the cryptocurrency space by offering its 360 million users an option to buy Bitcoin (BTC), Ethereum (ETH), Bitcoin Cash (BCH), and Litecoin (LTC) directly on its online payments platform, the price of Bitcoin has been pumping harder than Arnold at Muscle Beach Venice. The performance profile of the first cryptocurrency looks as follows:
- 87.4% to the upside against USD in 1 year;
- 42.3% gain in a month;
- 5.4% price appreciation in the past 7 days.
This undoubtedly bullish performance has had a significant impact on the alignment of forces, so to speak, on the Bitcoin historical chart.
1-month BTC/USDT chart
It doesn’t require an in-depth BTC technical analysis to see that the bulls are pushing the price to the all-time high in a more profound manner than they did in 2017 as the current monthly candle has opened above the close of the one that finalized the bull market three years ago, and whose upper wick had literally punctured the so-called crypto bubble and made it burst. But now, with the momentum on their side, as Stochastic shows, there is less and less doubt that we are entering the second bull market in the history of cryptocurrencies.
The current price of Bitcoin stands at $16,300 on the back of the 2.2% rise in the past 24 hours. The chart below clearly shows a steady bullish trend that has been gradually gaining strength over the past 30 days.
BTC/USD price chart — 30 days
Our proprietary BTC price prediction algorithm, which takes into account the showings of the Crypto Volatility Index (CVIX), suggests that in the next 30 days, the Bitcoin price in USD will get another 36.3% boost to the upside.
What 2021 holds for Bitcoin?
Bitcoin Price Prediction Chart — 1 year