At Live Bitcoin News, we’ve talked about how 2022 was reminiscent of 2018, which at one stage, was considered the worst year for bitcoin and crypto. We also mentioned that given the patterns and the similarities we were witnessing, it was possible (and even likely) that 2023 was going to be somewhat of a copy of 2019, which led to a touch of healing for most crypto fans.
Bitcoin Looks Like It’s Beginning to Heal
While we’re only a few weeks in, we’re thus far being proven right as 2023 has given us a small surge in the BTC price that some traders are getting excited over.
The price of bitcoin shot up to about $17,200 during the second week of January. This is not a huge deal when one considers BTC was trading for $68,000 per unit (its highest price ever) just over a year ago. At the same time, given what a disastrous run bitcoin has experienced over the past 12 months, this little jump to $17K is something that some of us can at least breathe a sigh of relief over. At this stage, all we can do is keep our fingers crossed and hope things continue along this path.
2022 was by far the worst period for crypto. Bitcoin, the world’s number one digital currency, began the year by enduring a series of dips from its previous $68,000 price and falling deeper into the doldrums. By January of that year, the currency had fallen by about $20,000 and was in the $40K range. Just a few months later, it was trading for $30K, and by the summer, the currency (quite scarily) fell below $18K albeit briefly. From there, it began to ascend the ladder to $20,000 again.
However, traders hadn’t seen the worst of bitcoin’s debacle as by the end of the year, the golden boy of the crypto space FTX would collapse into a heap of bankruptcy and fraud, and bitcoin would take another Earth-shattering hit and fall into the $16K range, where it would end the year.
Don’t Be Excited; Be Aware
This small jump is nothing to be terribly enthused by, and traders are warned not to thrust themselves into the “bitcoin is recovering” mindset right away. However, they should keep an eye on the currency and be aware of the current patterns, as bitcoin already appears to be entering 2019 territory, as there were small snippets of correction that occurred throughout the first several months of that year.
If these trends continue, it’s likely bitcoin may end 2023 in the $30K range or something similar. We can’t forget that 2019 wasn’t necessarily the year of huge price runs, but rather a doorway to a year (2020) that delivered huge price runs, so while 2023 may be bitcoin’s wound-licking phase, we could see it hit the top again come 2024.