Bitcoin (BTC) 2022 Price Trajectory: Experts’ View

Bitcoin has seen some turbulence over the past few days. September 5 sessions had BTC and other digital tokens slumping. However, the market shifted to green today. Bitcoin gained more than 5% within 24 hours to trade at $20,436 during this publication. Nevertheless, it might be early to confirm decisive market revivals.

Why Bullish Sentiments?

In this context, Mike McGlone of Bloomberg termed Bitcoin a wild card ripe for outperformance whenever stocks bottom but transforming to perform more like bonds and gold. Moreover, the analyst believes Bitcoin outperforms when traditional markets hit their respective bottom.

Latest McGlone’s post stated that the United States Fed financial policy would determine the stock market’s fate. He added that Bitcoin could defy market trends. Moreover, most investors and analysts agree and trust McGlone’s view.

What of Bears?

However, some individuals are against the bullish view, believing the bellwether crypto remains bear-prone and risky. While publishing this post, Bitcoin searched for grounds above the psychological market of $20K. Moreover, Oanda analyst Craig Erlam stated that risk aversion dominated the markets again.

Considering that the June low, at around $17.5K, served as the next crucial level to the downside, massive bearishness around current value areas might be harmful. Other analysts also shared Craig’s bearish stance. AvaTrade analyst Naeem Aslam said that BTC’s daily range narrowed massively, indicating impending capitulation.

Aslam justified his assertions. Moreover, traders have defied selling momentum to ensure surging crypto prices. Also, Reuters revealed that exchanges and investors could meet some hurdles because of Bitcoin’s current price action.

BTC has stabilized within $17K – $20K since July. That came as the price trend confirmed a sharp Bitcoin volatility slump. Such tendencies render the dominant crypto boring to market players who might soon resort to rivals like Ether.

Meanwhile, recent Bloomberg reports showed investors have hibernated amidst the escalated crypto winter. That’s because Bitcoin has witnessed alarmingly deteriorated on-chain activity. Also, controlled exchanges have recorded significant Bitcoin withdrawals.

Tricky as It Could Be

Despite the higher price projections by analysts, it remains challenging to predict BTC’s near-term price tendencies. Nevertheless, the world’s leading crypto will likely remain pressured, provided inflation remains elevated plus Fed’s policy tightening. Such an environment might reduce risk assets demand.