Bitcoin price knocks on $28.5K as trader says Bitcoin ‘reeks of disbelief’
Bitcoin (BTC) price is knocking on the door of $28,500 as of October 5, 2023, after a strong start to the month. This comes as a surprise to some traders, who had been expecting a further pullback in price.
One trader, who goes by the name of Jelle, has said that Bitcoin price “reeks of disbelief.” He believes that the recent price rise is due to a lack of sellers, rather than a genuine increase in demand.
Jelle’s comments echo those of other analysts, who have warned that the Bitcoin market is still vulnerable to a sell-off. They point to the fact that on-chain data shows that whales are still distributing coins, and that there is a large amount of selling pressure at higher price levels.
However, other traders are more optimistic about Bitcoin’s prospects. They believe that the recent price rise is a sign that the market is bottoming out, and that Bitcoin is poised to make a new move higher.
These traders point to the fact that Bitcoin has been oversold for a long period of time, and that there is a lot of pent-up demand for the coin. They also believe that the upcoming Ethereum Merge will be a positive catalyst for Bitcoin, as it will increase demand for BTC as a safe haven asset.
So, what is the next move for Bitcoin price?
It is difficult to say for sure. The market is still volatile, and there are a number of factors that could affect Bitcoin’s price in the short term.
However, over the long term, the outlook for crypto market cap is positive. The coin is still the dominant cryptocurrency, and it has a number of advantages over other coins, such as its strong brand recognition and its large network of users.
Here are some factors that could affect Bitcoin’s price in the short term:
The upcoming Ethereum Merge: The Ethereum Merge is scheduled to take place in September 2023. This is a major upgrade to the Ethereum network that will switch it from a proof-of-work to a proof-of-stake consensus mechanism. The Merge is expected to have a number of positive impacts on Ethereum, such as reducing its energy consumption and increasing its transaction throughput.
The Federal Reserve’s monetary policy: The Federal Reserve is currently in a hawkish monetary policy stance, which means that it is raising interest rates in an effort to combat inflation. This is putting downward pressure on risk assets, such as Bitcoin. If the Fed continues to raise interest rates, it could lead to a further pullback in Bitcoin’s price.
The overall macroeconomic climate: The global economy is facing a number of challenges, such as high inflation and supply chain disruptions. These challenges are weighing on risk assets, such as Bitcoin. If the macroeconomic climate worsens, it could lead to a further pullback in Bitcoin’s price.
Despite these short-term risks, the long-term outlook for Bitcoin is positive. The coin is still the dominant cryptocurrency, and it has a number of advantages over other coins, such as its strong brand recognition and its large network of users.
Here are some of the advantages of Bitcoin:
Strong brand recognition: Bitcoin is the most well-known cryptocurrency in the world. It has a strong brand recognition, which gives it a significant advantage over other coins.
Large network of users: Bitcoin has a large network of users, which makes it more secure and more liquid than other coins.
Limited supply: Bitcoin has a limited supply of 21 million coins. This limited supply makes Bitcoin more attractive to investors, as it means that the coin is likely to become more scarce and valuable over time.
If you are considering investing in Bitcoin, it is important to do your own research and understand the risks involved. Bitcoin is a volatile asset, and its price can fluctuate wildly in the short term. It is important to only invest what you can afford to lose.
How to invest in Bitcoin
There are a number of ways to invest in Bitcoin. The most common way is to purchase Bitcoin on a cryptocurrency exchange. There are a number of different cryptocurrency exchanges available, so it is important to choose one that is reputable and secure.
Once you have chosen a cryptocurrency exchange, you will need to create an account and deposit funds into your account. Once you have deposited funds, you can then purchase Bitcoin.
If you are new to investing in Bitcoin, it is important to start with a small investment. This will allow you to learn more about Bitcoin and how the market works before you invest more money.
Here are some tips for investing in Bitcoin:
Do your own research: It is important to do your own research before investing in any cryptocurrency, including Bitcoin. This includes understanding the risks involved and the potential rewards.
Start with a small investment: It is important to start with a small investment when you are first starting out. This will allow you to learn more about live cryptocurrency prices and how the market works before you invest more money.
Invest for the long term: Bitcoin is a volatile asset, and its price can fluctuate wildly in the short term. However, over the long term, the outlook for Bitcoin is positive. Therefore, it is important to invest in Bitcoin for the long term.
Use a reputable cryptocurrency exchange: When purchasing Bitcoin, it is important to use a reputable cryptocurrency exchange. There are a number of scams in the cryptocurrency market, so it is important to be careful.
Bitcoin is a volatile asset, but it has a number of potential advantages over other assets, such as its strong brand recognition, its large network of users, and its limited supply.
If you are considering investing in Bitcoin, it is important to do your own research and understand the risks involved. It is also important to start with a small investment and to invest for the long term.
