The price of Bitcoin (BTC) held just below $100,000 at the end of the week, falling 7% to around $91,000 on Thursday. This a milestone has fueled speculation about Bitcoin's short-, medium-, and long-term behavior despite increased market volatility.
An expert believes that Bitcoin could reach $200,000
according to to market expert VirtualBacon, while the $100,000 level is special, it does not represent the pinnacle of Bitcoin's potential. He refers to the current phase as the “exciting phase,” in which retail investors are motivated by fear of missing out (FOMO) and media hype.
While Bitcoin's march to $100,000 may not indicate an early entry point, VirtualBacon expects it to eventually hit $200,000, citing past price cycles.
However, the expert warns that investors should be ready for corrections of 20% to 30%, but he is still confident about the long-term potential of Bitcoin.
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As for the longevity of the current bull run, VirtualBacon mentions it previous cycles which shows a significant increase in prices often lasts 6 to 10 months. He points out that previous bull runs often peaked 6 to 10 months after important milestones, such as Bitcoin halving events.
VirtualBacon also compared Bitcoin's latest advance of the $100,000 milestone to its first breach of the $10,000 level in 2017, which led to a rapid doubling of the price within 20 days.
If history repeats itself, the analyst believes that the price of Bitcoin could increase to $200,000. However, if the price confirming around $100,000, it could signal a sustained bull run, which would benefit altcoins.
Ethereum: A 'No-Brainer Investment'
While the euphoria surrounding Bitcoin's rise above $100,000 is obvious, VirtualBacon emphasizes that the real potential lies in altcoins. He believes that when Bitcoin is consolidated, altcoins will definitely take center stage. Ethereum (ETH), in particular, outperformed Bitcoin, predicting the coming altcoin season.
In the past cycles, the performance of Ethereum exceeded Bitcoin by a factor of 2.5. If Bitcoin reaches $200,000, VirtualBacon expects Ethereum to grow to $15,000, marking a fourfold increase.
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Interestingly, VirtualBacon believes that Ethereum is a “no-brainer investment” at this time, citing its “huge undervaluation” and the potential to generate at least 3x returns, with real value. price targets rfrom $10,000 to $12,000.
Finally, VirtualBacon advised to monitor the performance of Bitcoin in relation to its 200-day moving average. He expects the bull market to continue until the end of 2025, creating several opportunities for smart investments.
At the time of writing, the largest cryptocurrency on the market, BTC, was trading at $99,670, up 3.2% on the week. Over longer time frames, Bitcoin continues to show massive gains of over 31% and 129% month to date and year to date, respectively.
Featured image from DALL-E, chart from TradingView.com
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