Bitcoin — is it time to sell? . Is this a duplication of Bitcoin price history?Author: Michael Macaulay | The Capital | June 2021
Wow, Bitcoin not only broke the previous all-time high of $160. But it is much higher than it. Nearly $1,000 per bitcoin!
Although it fell by 50% after the initial rise, the price still far exceeded anyone’s craziest expectations. But this only happened after a severe fall of 50%.
For now, we are currently down 50% from our previous all-time high. Historically, the summer months have been detrimental to the overall price of Bitcoin and cryptocurrencies.
The price of Bitcoin was slaughtered in 2013 and this summer. Both times were about a year after the halving.
However, if history repeats itself, we are likely to see a massive rise before the end of the year.
This will not only imply Inventory-to-flow model It is correct that Bitcoin is predicted to be $288,000 in this bull market, but it will also follow a time frame similar to the 2013 cycle.
But there is another piece of evidence that makes me think that this may be the case.
We can use Google Trends to get a rough idea of how many people are searching for Bitcoin at any given time.
Now everyone is very worried that this bull market is a repeat of the 2017/2018 cycle.Where every cryptocurrency sees ~90% down Closely behind in price Prices have stagnated for 3 years.
However, if we look at the Google search volume for Bitcoin, we will find that it fell off a cliff in early 2018. And it has been low for a long time.
Now, we can compare the search volume with what it looks like now. Note that there is a significant drop. But it still remains strong. Still interested in Bitcoin baby!
This means that people are still searching for Bitcoin. There are still newcomers who understand it, buy it, and store it.
All these newcomers have gradually increased their prices. And may trigger another rise later this year. Similar to what happened in 2013.
After all, none of us can predict what Bitcoin will do. If we can, we will all become rich.
But we can study the data and make educated guesses about what will happen. There is quite a lot of data that makes me think that Bitcoin will hit a record high later this year. Maybe even in 2022.
But at the end of the day, No guarantee.
Bitcoin may be hacked. The price becomes 0. Joe Biden can criminalize Bitcoin and cause the market to collapse. No one knows what will happen.
Personally, as prices continue to fall, I think this summer is a good time to average dollar costs into cryptocurrencies.
The community is getting bigger every day. Even if Bitcoin does not see another rise at the end of the year, it will only be in 2024 that Bitcoin will have another halving event.