Bitcoin tested $30,000 again yesterday, where it was holding great support. Two days ago, we had that crazy news of not going past $40,000 from J. P Morgan, which is quite funny as they were giving the Bitcoin price prediction of a hundred and forty-six thousand dollars ($146,000) as it competes with gold.
Bitcoin is extremely small compared to gold, with a market capital of $607 billion. The market capital of gold is over $10 trillion and is over ten times the entire crypto space put together since the global market capital is one trillion dollars for the first time.
Bitcoin has taken 2% of the gold market capital, so getting to 10% of gold market capital would mean that each Bitcoin would cost $154,000,000. I think it is possible by the peak of the next bull run, and as we have seen, there are many price predictions for Bitcoin anywhere from 100,000 to even 300,000 or more by the rise of this current bull market.
Although in 2021, there is a high chance that we will still move up in general, there might be temporary dips, but note that there always high risks in the short term of primary market dips, especially right now with the political affairs going on, new people winning into offices, new policies and governments around the world that are fighting cryptocurrency as well.
Bitcoin is above $30,000, and Ethereum is breaking above its all-time high, shows signs that we are very close to Bitcoin and Ethereum breaking out.
Bitcoin hitting $50,000 and Ethereum hitting $2,000 is the resistance levels that we are going to be looking at really soon especially leading to Paypal launching crypto payments that millions of merchants on Paypal that already have existing merchant accounts being able to accept Bitcoin, Ethereum, Litecoin, and Bitcoin Cash for the first time.
So imagine how many companies and websites are going to be announcing that they are accepting Bitcoin and Ethereum payments for the first time. This will generate a flood of great news and a flood of new utility and volume for crypto.
That should be launching by the end of March since PayPal announced that they would be launching it by the end of the first quarter.
Bitcoin trend level is also trying to dip a little bit for the last couple of days. Still, other data shows that people are buying up Bitcoin in the masses, taking it off exchanges to store in long-term storage, and these people are not going to be selling for a very long time.
