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The world’s largest cryptocurrency Bitcoin has been through intense periods of volatility. But based on the historical charts, analysts remain hopeful that BTC price rally to $100K could be coming in 2022.
The world’s largest cryptocurrency Bitcoin (BTC) has been showing a sideways momentum and is currently sitting at its one-year moving average. As of press time, Bitcoin is trading at a price of $46,439 with a market cap of $877 billion and now BTC seems to be rather far away from its goal of $100K.
However, if Bitcoin preserves its one-year MA trendline, there could be a considerable upside for the BTC/USD pair, says analyst Philip Swift from Look Into Bitcoin. Commenting on this chart, the analyst also added:
“The 1yr MA is a pretty important #bitcoin bull/bear pivot level historically and we are sat right on it now. I vote we bounce and stay bull.”
Bitcoin is still trading 33% low from its all-time high of $69,000 in November. The world’s largest cryptocurrency has a lot of ground to cover yet. Besides, it seems unlikely as of now that BTC will reach $100K levels by this Christmas, as many had expected.
PlanB, the creator of the stock-to-flow model, acknowledged the same over the last weekend. However, he remains pretty confident of his model and noted that he won’t be abandoning it despite the recent events.
“Bitcoin needs a small miracle for a 100K Christmas. Will I ditch S2F model if this does not happen? Nah, I actually like being at the lower bands. In fact I published the model at the lower bands in March 2019 with BTC below 4K,” wrote he.
The ‘Santa Rally” Is Missing, Traders Expect $100K BTC in 2022
The crypto market has behaved opposite to the popular perception of Bitcoin hitting $100K by the year-end. Besides, many expected the broader crypto market to perform similar to 2017 during Q4 this year. However, we can see a clear sign of weakness in the market. commenting on this, crypto market commentator Holger Zschaepitz said:
Look as if mkts not staging typical Santa Rally. Global stocks have lost $1.8tn in mkt cap this wk as investors reacted to hawkish Fed pivot, spike in Covid cases & find themselves positioning into 2022 of already-elevated valuations. Stocks still worth $118tn, 140% of global GDP.
Although Bitcoin has been moving sideways, investors remain still hopeful of hitting the $100K level in 2022. Rekt Capital calls the current price action similar to the consolidation phase of May till July.
#BTC is still consolidating inside these two key Bull Market EMAs
Just like in May 2021 (yellow circle)$BTC #Crypto #Bitcoin pic.twitter.com/KOpBbCvU0k
— Rekt Capital (@rektcapital) December 17, 2021
If a similar pattern plays out, Bitcoin (BTC) could still consolidate and drift lower for another 6-8 weeks before resuming the uptrend. Furthermore, market analyst TechDev notes that Bitcoin is still in the same macro position compared to the previous two halving cycles. It means there will be some intense periods of volatility followed by a late-stage rally and a blow-off top period.
Despite multiple swings in sentiment over the last 2 weeks, #Bitcoin is in the same macro position. pic.twitter.com/YtlfivYy6S
— TechDev (@TechDev_52) December 17, 2021
Read more Bitcoin news on Coinspeaker.