Bitcoin at $20,000 is Full of Roses: Where are the Thorns?

Vinod Dsouza
Bitcoin BTC Roses
Source: Unsplash

The CPI data showing inflation at 6.5% in the U.S. in December made way for the crypto markets to rally. Bitcoin climbed to $20,000 for the first time since November 2022 while Ethereum reached the $1,500 level. Leading Altcoins jumped nearly double digits in the indices generating decent profits for the first time this year. Bitcoin at $20,000 is full of roses and it is in the green for three consecutive days. However, every rose has its thorns that could dent its scent and prick a person when they least expect it.

How far or near are the thorns that could hurt investors making Bitcoin tank below the $20,000 level? Let’s find out!

Also Read: 3 Cryptos to Watch Out for After CPI Data Rally

Bitcoin at $20,000: Every Rose Has Its Thorn

Source: Forbes/ShutterStock

Firstly, CNBC host Jim Cramer and Veteran gold analyst Peter Schiff were wrong with their predictions on Bitcoin this time around. Cramer recently tweeted that crypto investors should sell off their holdings as the markets could crash.

Schiff advised users on Twitter to dump Bitcoin at $19,000 levels claiming that it is poised to head south. Both the analysts were wrong making more serious cases that their predictions are mostly biased.

Also Read: When is the Best Time to Buy Bitcoin? Wall Street Analysts Explain

Nonetheless, despite the recent rally sending BTC above $20K, the markets remain under bearish grips. Global tech companies such as Microsoft, Amazon, and Meta, among others are laying off their staff at alarming levels. The firms are also closing down on offices across the U.S. to reduce infrastructure costs.

Leading banks such as the World Bank, Standard Chartered, and JP Morgan predict a recession in 2023. Therefore, BTC at $20K is not full of roses as the thorns could be much closer to the hands than imagined. The prick is not a matter of ‘why’ but a matter of ‘when’ due to the weak global macroeconomic factors that are plaguing the markets.

Also Read: Dogecoin: When Will DOGE Reach $1? Here’s The Timeline

At press time, Bitcoin was trading at $21,068 and is up 0.6% in the 24 hours day trade. BTC is down 69.5% from its all-time high of $69,044, which it reached in November 2021.