(Updated August 2, 2020)Named the best performing asset of the decade, Bitcoin has come a long way in only a few years. Even as the coronavirus pandemic grips attention worldwide, Bitcoin is still commanding interest around the world, especially with the halving event on the horizon.
Trading at around $7,200 as of the time of writing, it has posted over 9,000,000% gains since July 2010. Within the same period, the S&P has merely tripled. Gold is only 25% up, and some of the best-performing stocks on the Russell 3000 are up only around 3,000%, which pales in comparison to the financial world’s latest marvel.
In this piece, we are going to take a look at all the latest news and plans for Bitcoin that are likely to push its price past $15,000. We will also analyze interest in the coin and its past performances coupled with chart analysis and expert predictions to see if that target is a possibility for BTC in 2020.
Notable Bitcoin News & Plans for 2020
Investors Could Be Accumulating Bitcoin As they Anticipate Halving
According to Glassnode, a blockchain intelligence firm, on April 14, 2020, the seven day moving average of the total number of BTC held in exchange addresses fell to 2,214,365. The average was down almost 8% from a high of 2,404,786, which was registered on January 17, 2020.
The firm thinks the decrease in exchange balances suggests there is a shift to longer-term holding strategies. It turns out investors usually withdraw coins from exchanges and hold them in personal wallets when they expect the price to rise. Conversely, they tend to move the coins to exchanges as they prepare to sell when they feel a price crash is on the horizon.
We believe the increased levels of holding could be associated with the bullish expectations tied to the halving of the Bitcoin mining reward, which is set to occur sometime in May.
The process is designed to control inflation and will cut the rewards per block mined from 12.5 BTC to 6.25 BTC.
Bitcoin Development Healthier Than It has Ever Been
With an increasing number of institutions and companies viewing BTC as an essential piece of infrastructure when it comes to the future of finance, it seems Bitcoin is experiencing a rise in the number of entities that are funding its development.
This is according to research conducted by BitMEX. The report published on March 28 indicates that blockchain firms Lightning Labs and Blockstream are currently the largest contributors to the development of the project. On the other hand, Bitcoin research firm Chaincode is the largest financial supporter of Bitcoin Core software development.
Researchers at BitMEX used data and information available publicly from the people involved to create what they termed as the most comprehensive picture of open-source Bitcoin developer funding.
The report noted:
“We conclude that the situation is more healthy than it has been in the past, with respect to the availability of finance, transparency, and the degree of distribution among financial backers.”
Blockstream and Lightning Labs both employ 8 developers, followed by Square Crypto, with 7 to work on Bitcoin. Tied on 6 developers, each is Chaincode, Purse, and MIT’s Digital Currency Initiative (DCI). The full list can be seen below.
The research team also looked at the activity in the Bitcoin Core repository to identify the top contributors and determine their source of funding. They found out that 11 of the 33 most active developers are independent, with 7 paid by Chaincode and 3 by Blockstream.
Recently we also saw Square Crypto join the fray, and the company owned by the Twitter founder is also supporting Bitcoin development with grants.
Bitcoin (BTC) 2018-2020 Historical Price Analysis
Bitcoin price movement from 2018 coinmarketcap.com
Fresh of its all-time high in December 2017, Bitcoin began 2018 at $13,848. A steady rise would ensue, culminating to a peak of $17,057 on January 6. This would be the highest point the price would get to. A steady decline followed, however, the price managed to hold above the $10,000 mark until the end of January. However, the beginning of February saw Bitcoin break below $10,000 to the $8,200 level by February 2. The price would dance around $8,200 and $10,000 for the next three months before dropping to the $7,500 range by May 25. The next six months saw BTC price play around the $6,000 level until November 14 when the bear market set in. The price had a sharp drop cumulating to a low of $3,316 on December 14.
BTC would bear through the $3,000 range for the next 3 months before breaking above the $4,000 mark on March 16, 2019. A steady rise in price would follow and for the first time in 2019 BTC broke the $10,000 mark on June 24. On July 10, BTC hit $12,967 which marked the highest point the price got for the year. Bitcoin ended the year at $7,277.
In 2020 BTC began the year with a steady rise with the price managing to break past the $10,000 mark by February 9. However, the position didn’t last that long it was back in the $9,000 range for the next month until a break downwards on March 8. There was a sharp drop that bottomed on March 16 at $4,626 amid the spread of the Coronavirus around the globe, and both crypto and traditional markets feeling the impact of the pandemic.
Since the price has bounced back with steady gains and managed to break past the $7,000 mark on April 7.
Bitcoin 2019 Popularity vs. Bitcoin 2020 Popularity
Bitcoin interest between since 2019.
Looking at the numbers from Google trends, we see interest was low at the beginning of 2019, which is understandable given that we were in the bear market. The first spike of interest was between March 31-April 6. There was sustained interest between May 12 – May 18, and this coincides with the rise in price. Interest in Bitcoin peaked on June 23 – 29, a period that saw the coin register its highest price for the year. From there, it steadily declined to level through the following months as the price matched it.
Bitcoin interest by region
Factoring in the same period, in 2020, Bitcoin has seen more interest compared to the previous year. This is supported by the numbers which peaked between March 1 -21. For some reason, most of the interest is coming from Africa, with three of the top 5 searches by nation based on the continent.
Bitcoin Price Evolution In 2019
Bitcoin 2019 price evolution coinmarketcap.com
2019 was relatively a bull market compared to 2018, where the price of Bitcoin sunk to the $3,000 level. BTC began 2019 at $3,739. And held on that level until February 21 shortly before returning to the $3,000 level until April 1. From there, there was a steady rise over the next few months, culminating to a peak of $13,793 on June 26. This would represent the highest level the price got in 2019. The following five months saw the price play around $12,000 and $7,000 until on November 25 when it dropped to $6,728. That didn’t last long as it was back to the $7,000 level for the majority of the remaining period managing to end the year at $7,293 an increase of almost 200% from where it began at the start of the year.
Bitcoin Price Prediction – TradingView Analysis – Updated August 2, 2020
For Bitcoin, we see that the largest cryptocurrency has behaved in a very bullish way in the last few weeks. The analyst considers that we have reached a local top and we could continue moving towards the 10,400 region that would now become support – in the past it worked as resistance.
The 10,400 level would represent the current 38.20% Fibonacci retracement and it has also found some resistance in the 50% Fibonacci level. The analyst has also taken into consideration the index of fear and greed which is showing that it is currently very high. Thus, he was able to properly show a correction in BTC.
Bitcoin is currently at a moment of a lot of stability. During the last few months, Bitcoin has been showing stability and no signs of moving higher or lower. According to the analyst, resistance and support levels are looking strong while bulls are looking weak.
The analyst considers that we could be experiencing the calm before the storm, and this is something that could push Bitcoin higher or lower in the coming days. The next support levels are going to be between $8,500 and $8,800, which could be very important to understand the future of this cryptocurrency. In the coming days, Bitcoin could break down or upwards.
Everyone is looking at what can happen with the BTC/USDT trading pair in the market. One of the views is related to a Head and Shoulder pattern that is currently being formed in the 1-day chart of BTC/USDT.
With it, it may be possible for BTC to fall to the $8,450 range and then start moving higher towards $13,000 surpassing its year-old high of around $13,750. Although this is not confirmed, we may see BTC behaving in this way in the coming days and weeks. At the moment, Bitcoin is being traded close to $9,050. The analyst considers that Bitcoin could move above $14,000 if the positive trend continues.
Some users in the market, such as the current analyst, consider that Bitcoin (BTC) could move downwards in the near future. This would happen if the most popular virtual currency losses the $8,900 support. This seems to be far from happening in the near future, but cryptocurrencies are certainly volatile assets.
However, there is also a possibility for Bitcoin to move higher in the coming days. If it surpasses the $10,000 level, then we could see a higher move towards the $11,200 zone that could be the highest price reached by Bitcoin in over a year.
The BTC/USD trading pair is currently consolidating between the range of $7,700 and $10,000 according to the analyst. He stated that Bitcoin continues to be in a triangle and he expects BTC to move down to the $8,900 – $9,050 region before moving higher once again.
If BTC breaks below or above this triangle, we can see BTC testing the $10,000 region or going down to $8,500. Nonetheless, we need to wait until the coming days before understanding what can happen with the digital currency. Currently, BTC is being traded close to $9,535 and it could test the $9,600 region.
Expert Bitcoin Price Prediction
According to Adam Back, CEO of Blockstream Bitcoin could exceed its all-time high of $20,000 by the end of 2020, given the halving and as other technology fundamentals come to bear. He is optimistic it could go as high as $100,000.
Changpeng Zhao, better known as CZ, the CEO of Binance, sees the industry getting bigger in the long term, and this is likely to push the price higher. He believes the Increasing interest from institutional players signifies a bullish market in 2020.
Paolo Ardoino, the Chief technology officer at Bitfinex, says he doesn’t expect Bitcoin to fall below $6,000 mark in 2020 even though we could witness some FUD before the halving event. All in all, he sees the price at least hitting $20,000 by the end of the day.
Marc P. Bernegger, who is a fintech investor at Crypto Finance he sees the price of Bitcoin going as high as $55,000 and as low as $22,000 by the end of 2020. He sees the upcoming halving and the inflow of institutional funds as key drivers.
Alejandro De La Torre, Vice president at Poolin, offers a modest prediction of between $5,000 and $14,000 by the end of the year.
Arthur Hayes, CEO of BitMEX, sees Bitcoin revisiting its all-time high of $20,000 and even breaking through as inflation and the store of value narrative takes hold. However, should we revert to the bear territory, its price will be around $3,000.
Alex Mashinsky, CEO of Celsius, sees the price of Bitcoin going above $25,000 a few months after halving. Having been named the best performing asset of the last decade, the CEO sees no reason why Bitcoin will not dominate the next one.
Ivan, on Tech, a YouTube influencer, sees Bitcoin achieving a minimum of $3,400 and a maximum of $200,000. Hey, anything is possible in crypto!
Nicholas Merten, the founder of DataDash, a YouTube channel, sees Bitcoin achieving a minimum of at least $16,000 and a maximum of $24,000 by the end of 2020. He cites halving increases of institutional investors, and PlusToken finishing selling its BTC and ETH as the chief drivers.
Niklas Nikolajsen, the founder and chairman of Bitcoin Suisse AG, believes no one can accurately predict the price of Bitcoin; however, 2020 will be like 2016, where we will see a positive trend begin and the price could get close to its all-time high. With that in mind, his maximum for the year is $17,000 and a minimum of $5,900.
Bitcoin Frequently Asked Questions (FAQ)
Who Created Bitcoin?
Bitcoin was created by a person or a group of individuals under the pseudonym Satoshi Nakamoto.
When Was Bitcoin Launched?
The bitcoin.org domain was registered on August 18, 2008. Two months later, on October 31, a link to the Bitcoin whitepaper was posted to a cryptography mailing list. On January 3, 2009, the Bitcoin network was launched with Nakamoto mining the first block.
Is Bitcoin Decentralized?
Bitcoin is a decentralized cryptocurrency without a single administrator or central point of authority.
Is Bitcoin proof of stake?
No, Bitcoin uses the Proof of Work (PoW) consensus algorithm, which requires the participant node to prove the work done and submitted by them qualifies them to receive the right to add new transactions to the blockchain.
Is Bitcoin a good investment?
If we are to use solid facts, then a return of over 9,000,000% in ten years means it’s the best investment around! The price of Bitcoin will only go up in the future as supply reduces, and crypto gains popularity with the masses. Even the Coronavirus has brought awareness to virtual currencies as people and governments realize the need for virtual currencies compared to touching paper money.
Will Bitcoin go up?
With halving around the corner and based on records, we believe Bitcoin’s price will go up in 2020. Our prediction lies around the $15,000 mark, at least, but we are not ruling out the possibility of the coin surpassing its all-time high.
Where to buy Bitcoin?
Being the most popular cryptocurrency, there are several ways to buy Bitcoin, including using credit/debit cards on Coibase, Coinmama, CEX.IO, BitPanda, and many more.
You can buy Bitcoin using bank account/transfer on Coinbase, Coinmama, BitPanda, and many more.
You can buy Bitcoin using cash on LocalBitcoins, BitQuick, and Wall of Coins.
BTC can be bought on Bitcoin ATMs, which are located at different locations around the globe with over 5,000 machines.
It’s also possible to buy Bitcoin using PayPal even though the fees involved are quite high.
Is Bitcoin dead?
Based on the evidence of the past ten years since Bitcoin launched, we say it’s alive and kicking, and there is no reason why it shouldn’t go on for a long time.
Is Bitcoin better than Ethereum?
Bitcoin maximalist will say yes, and Ethereum die-hards will say Etherum is better. However, both are wonder technologies that offer different perks to users.
Will Bitcoin fail?
Bitcoin failing is highly unlikely as we have seen its development and funding is healthier than ever before.