Commodity Blog

Bitcoin (BTC) and the entire cryptocurrency market have entered a period of consolidation throughout the past few days and weeks. As a result, the crypto market has continued to struggle to gain some momentum. This trend can be attributed to the benchmark cryptocurrency failing to break above its previously established all-time highs (ATH) of $20,000.

However, some analysts have remained long-term bullish on Bitcoin as institutional players continue to enter the space. For example, in a recent interview, Niall Ferguson, a financial analyst said:

The acceptance of Bitcoin as a digital asset, a quasi-digital gold, has been accelerated by this pandemic. Almost every month, some major figure in the mainstream investment world has said, ‘OK, now I’ll take BTC seriously.’ This process of institutional adoption has further to run.

As a clear example, MicroStrategy, which holds the largest amount of reserve assets for crypto assets proposed a private offering of $400 million through convertible notes in order to purchase more bitcoins.

MicroStrategy Announces Proposed Private Offering of $400 Million of Convertible Senior Noteshttps://t.co/KvZNIbO6Fa

— Michael Saylor (@michael_saylor) December 7, 2020

According to an official announcement by MicroStrategy, it plans to sell “Senior Convertible Bonds” due 2025 to qualified investors through private offerings, raising a total of $400 million. Based on the company’s reserve asset policy, it will use the sales of convertible bonds to buy Bitcoin.

As a reminder, the company’s CEO, Michael Saylor, took to Twitter last week and announced that the firm had bought $50 million worth of Bitcoin.

Read also: Bloomberg: Bitcoin headed for $50,000

What is more, on November 7, Bitcoin posted the highest weekly candle close it has ever seen on the Bitstamp crypto exchange. This is an indication that more upside for Bitcoin could be right around the corner.

This price movement boosted the outlook of well-known crypto analyst Josh Rager, who said that the cryptocurrency is moving very close to the 2017 level on the Coinbase exchange.

BTC: Hit an all-time-high weekly close this weekend on Bitstamp. Looks like Coinbase closed right below 2017 weekly ATH. So close to $20k+.

The weekly closing price on November 9 was $15,975 but has since hit highs at $18,435, $18,192, and $19,380. “The history of Bitcoin has continued to rise by 700–1000% when it closes its monthly bar above record highs,” said Josh, expressing his expectations for 2021.

$BTC

Every time Bitcoin has closed above the previous monthly all-time high – a 700% to 1000% uptrend has followed

November could be the first monthly close that we see breaking the previous high and historically that's been a very bullish sign for the crypto market pic.twitter.com/5SBTtE600U

— Josh Rager ? (@Josh_Rager) November 10, 2020

On-chain analyst Willy Woo has also said that 1.3% to 1.73% of the world’s population may already own Bitcoin, and if this goes on, it will not be impossible for BTC price to rally to $200,000.

Views on 2021 (THREAD):

My Top Model suggesting $200k per BTC by end of 2021 looks conservative, $300k not out of the question.

The current market on average paid $7456 for their coins. You all are geniuses. pic.twitter.com/5t1pHXwE0b

— Willy Woo (@woonomic) December 1, 2020

Finally, according to a report from Cindicator, which surveyed more than 156,000 analysts on its platform said Bitcoin will rise to $29,569 in 2021. The respondents with the most accurate forecasts, the so-called “superforcasters”, on average expect a maximum price of $32,056 next year.

As per the report, this year the price of one bitcoin will reach $21,000. According to analysts, the flagship cryptocurrency will overcome the record set last week of $19,888 by mid-December.

The price will not drop below $15,000 next year, according to the average forecast. Superforkasters are, however, less optimistic and expect a drop to $12,000.

If you have any questions and comments on Bitcoin today, use the form below to reply.