Bitcoin price rallied rapidly above the $23,500 resistance area. The price made a convincing move above $24,000 and even rallied above $24,500. However, it failed in an attempt to make a direct move towards the $25,000 opposition. At the time of writing, Bitcoin was trading around $29,946. We’ve compiled BTC price predictions for this week and August from cryptocurrency analysts.
“Bitcoin will experience a slight drop”
Three crypto analysts using nicknames on Twitter evaluated the BTC price. The first of these was Credible. Credible says that Bitcoin price has passed the $22,000 retracement target. According to him, a 5% downside drop is quite possible for BTC. Second, there is the widely followed Smart Contracter forecast. Smart Contracter tells his 210,300 Twitter followers that Bitcoin will rise above $25,000 in the future. But for that, he points out that it could first correct to $22,500 this week.
Other crypto strategist Inmortal shares a similar perspective on BTC. However, the crypto trader expects the pullback to be around $21,700. This is a little deeper than Smart Contracter estimates. Inmortal suggests a potential downside drop of 6% for BTC from current prices. As for its target this month, Inmortal says that Bitcoin could hit as high as $27,000 before the end of August.
What awaits BTC price in August?
August is said to be less favorable season for Bitcoin than July. Over the past 11 years, BTC has only finished months five times higher and six times lower. The average increase was 26% and the average decrease was 15%. In the first scenario, it is possible for BTC to end August at around $30,000. It also has the potential to make up for the June drop in just two months. In the second scenario, there is a price expectation of around $20,000. Dan Morehead, CEO of Pantera Capital, says that in May and June, failed businesses sold their assets. He thinks that this will enable him to reach the top of the cryptocurrency market. According to him, almost all DeFi protocols worked efficiently even at the height of the financial crisis. But central credit-linked companies failed.
“Market sentiment is positive”
Crypto analytics platform Santiment released market data on Aug. Accordingly, Bitcoin was trading at $22,927 while recording a 0.25-weighted sentiment. Ethereum, on the other hand, was at $1,587 with a weighted sentiment of .32. The data comes out after both assets posted an impressive July record with an average increase of 18%. According to market sentiment, investors prefer to buy on the downside. In other words, it is possible to interpret the data as Bitcoin and Ethereum do not experience fear, uncertainty and doubt. As we reported on Kriptokoin.com, Bitcoin rose after the FED increased interest rates by 75 basis points last week. The asset managed to increase its value in an environment of hyperinflation. As such, Bitcoin is considered to be responding well to the Fed’s recent policy. Investors appear to be betting on the asset, despite the possibility that rates may rise in the future.
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