Crypto community sets bullish Bitcoin price for October 31, 2022
Bitcoin (BTC) hit its highest level in more than a week on Tuesday, September 27, when it passed $20,000. Despite this, the cryptocurrency still has trouble breaking out of its narrow trading range.
As a result, more traders and investors are now focusing on the crypto’s next target price by October 31, given the volatility experienced in the crypto market.
In particular, the cryptocurrency community at CoinMarketCap forecasts that Bitcoin’s value will increase by 13.18% from today’s level, reaching a median price of $22,857 by the end of October 2022, an increase of over $2,661.
According to crypto trader Michaël van de Poppe, the breakout consisted of tons of spot volume on Bitcoin. He too proposed that it is a good idea to potentially go long Bitcoin and short the dollar, and that the flagship digital asset could move close to the region the crypto community had suggested for the end of October.
“It depends on the indices today, but it looks like we’ll be able to look towards $23K for some relief, at least. Time to go long BTC. Time to go short DXY. Probably that kind of period .”
He added:
“Upside: – $20.7K – $22.9K Downside: – $20K – $19.3-19.5K. All are levels I would look at for job listings.”
Bitcoin price fluctuations
Since mid-June, Bitcoin’s price has fluctuated between $18,000 and $25,000. This comes after a meltdown that wiped roughly $2 trillion off the value of the entire cryptocurrency market since it hit an all-time high in November.
This market decline was fueled by a wave of bankruptcies and insolvency issues that trickled through the cryptocurrency sector. Interest rate increases by central banks to deal with uncontrolled inflation were also driving factors in this market decline.
Interestingly, the recent rally in Bitcoin, which began on Monday, September 26, occurred despite a decline in US stocks, with the S&P 500 ending at its lowest level since 2022. Stock futures rallied on September 27. are indications that the link between cryptocurrencies and stocks may be starting to break down.
Investors are keeping a close eye on DXY
Meanwhile, investors are keeping a close eye on the value of the US dollar. This year, the dollar index, which compares the value of the U.S. dollar to that of a group of other currencies, is up more than 18%.
Because the price of Bitcoin fluctuates in the opposite direction of the dollar, a strong dollar is bad for the cryptocurrency. However, with some analysts such as Poppe suggesting that the dollar index may be nearing a top, it could indicate a possible bottom for Bitcoin, which could explain Bitcoin’s recent price increase.
Disclaimer: The content of this page should not be considered investment advice. Investment is speculative. When you invest, your capital is at risk.
