Bitcoin’s price has been on a zigzag upward trajectory recently, which means we see the prices going up and down within hours. BTC is now trading above $116,690 (~PKR 3.24 crore) and now approaching a significant resistance level near $118K (~PKR 3.28 crore). According to analysts, successfully breaching this level could pave the way for further gains for the cryptocurrency.
However, the path forward is not without its challenges. Sellers are anticipated to fiercely defend the $118K zone. Without sustained buying pressure, Bitcoin’s rally may lose momentum at this key barrier.
Bitcoin Positioning Towards $118K
Despite potential headwinds, analysts remain optimistic as long as Bitcoin maintains its position above $116,650. There is a strong possibility it could attempt another upward move. A decisive close above $118,000 might encourage bulls to target even higher price levels, while a failure to break through resistance could see a pullback towards lower support zones.
Bitcoin is currently trading at around $116,000, reflecting a slight dip today. The broader crypto market sentiment is currently “neutral” according to the Fear & Greed Index, indicating stable liquidity and less volatility in coin prices.
However, long-term investor sentiment remains robust, with almost half of investors surveyed intending to increase their Bitcoin holdings within the next six months. Many view Bitcoin as a “digital gold” amidst inflation and geopolitical tensions.
BTC Price-Determining Factors
Bitcoin’s price is influenced by a complex interplay of factors:
- Supply and Demand: Bitcoin’s finite supply of 21 million coins, coupled with events like “halvings” that reduce the rate of new coin creation, contributes to its scarcity and can drive prices up as demand increases.
- Market Sentiment and Speculation: News events, social media buzz, and the actions of influential figures can significantly sway public perception and lead to rapid price changes.
- Regulatory Developments: Government stances and regulations on cryptocurrencies can impact investor confidence and market stability, influencing prices.
- Technological Advancements: Improvements in transaction speed, scalability solutions (like the Lightning Network), and security enhancements bolster Bitcoin’s appeal.
- Macroeconomic Factors: Global economic conditions, such as inflation rates, interest rates, and stability, can affect Bitcoin’s role as a hedge and alternative investment.
The next Bitcoin halving is anticipated in 2028. But Bitcoin’s future price will heavily depend on its continued adoption and technological advancements, alongside regulatory shifts and broader market sentiment. You can now keep a tab on BTC prices from Pakistan’s premium currency converter[1] here to know when to make a smart move.
References
- ^ premium currency converter (www.techjuice.pk)