Could bitcoin potentially reach a price of $340,000?
The Power and Strength of the Bitcoin Price
This appears to be the sentiment amongst certain analysts and charting platforms granted bitcoin decides to play all its cards right. Should the currency imitate its 2016 halving behavior, there is a slim chance that it could spike to this range and beyond.
As we all remember, bitcoin’s second official halving occurred during the summer of 2016. While not much happened at first, bitcoin’s price really began to pick up at the end of the year, when the asset officially rose into the $1,000 range for the first time in about three years.
From there, the momentum jumped, and bitcoin enjoyed arguably its greatest year in 2017 – a time that ultimately took the currency all the way up to the $20,000 per unit range by the time Christmas arrived.
Sadly, this price didn’t last very long as bitcoin proved still too vulnerable to quick spikes, but the journey remains one of the most intriguing, mysterious and above all, fun that bitcoin and its fans have ever taken, and now there’s an opportunity for this journey to happen all over again.
Bitcoin incurred its third halving in May of this year. While not much happened during or even after the event, the leadup to the halving proved solid for bitcoin. The world’s number one digital currency by market cap incurred a heavy rally that saw its price spike all the way from the high $3,000 range in mid-March to just under $10,000.
Now that a few months have passed, bitcoin appears to have picked up somewhat and is trading at just over $11,800, which while still solid, is not quite as good as where it was a few days ago (roughly $12,400).
Many are wondering if bitcoin is not having the same reaction to its recent halving that it did in 2016. Four years ago, it took some time for the currency’s momentum to pick up, with a few months going by between the halving and serious price action occurring within the space. Now, the same thing seems to be happening.
Remember, however, that bitcoin is much higher than where it was after its second halving, so granted the currency mimics the trends it experienced four years ago, $340,000 wouldn’t be too far out of reach for the asset in question.
Don’t Just Assume This Will Occur
On Twitter, popular analytics site ChartsBTC explained:
The multiples from prior cycles applied to the current one arrives at highs between $250K and $1.6 million in the next 18 months.
However, while it all sounds exciting and thrilling to traders, the site warns them not to break out the champagne just yet, as there is no solid evidence that bitcoin will ultimately follow its 2016 patterns. Right now, analysts are just in a state of hope.