Bitcoin has seen rough times in the past few weeks. The king of cryptocurrencies has dropped from a high of 69k and is currently trading at 54k. According to Nasdaq, we are just at the beginning of the digital era, and Bitcoin adoption is the gateway.
Transition to Digital Era
When the internet adoption began, many mainstream papers wrote of how it was a passing phase. Fast forward 30 years later, the whole world is functioning because of the Internet. The Internet was a stepping stone for another technological regime in the grand scheme of things – the digital age.
The digital age is signified by Web3, Non-Fungible Tokens, Metaverse and Decentralized Finance, among others. The transition to Blockchain technology is far more violent right now compared to the adoption of the Internet.
Bitcoin Bull Run is Just Starting
Bitcoin is not dead, and the run is far from over. PlanB’spredictions showed that BTC would hit 98k by the end of November 2021. However, with just four days remaining until the end of the month, BTC is trading at 54k. For Bitcoin to hit 98k, the asset would have to move up by $11,000 per day for the next four days.
Bitcoin Technical Analysis
Fundamentally, BTC is stronger than it ever was. Countries are adopting it, and multinational companies are buying it. However, the BTC technicals are a bit concerning in the short term. Pulling up the Bitcoin chart, the asset is currently respecting a steep uptrend (which also acts as a support). The price action is presently above the trend line, which is bullish for BTC. All eyes are on BTC, waiting to see if the trend line will hold the trend line support.
Worst case scenario is the BTC fails to hold the support and breaks below the trendline. This will drive BTC down to the next support level of $52k. Below that, BTC could drop massively to the last support of $28k.
The best-case scenario for BTC is it bounces of the current trend line and shoots straight for $98k (within the next four days if possible). A rise to $98k would be an 84% increase from the current price.
The future looks more promising than bleak at the moment. As many in the space would say, “We have hopium.”
Bitcoin Adoption
Nasdaq put out the S-Curve and Adoption Lifecycle. In layman’s terms, the curve shows that when a new technology emerges, a small minority recognizes it. This small minority (innovators/early adopters) are the ones pushing for BTC adoption. If only a small minority has managed to entice several nations into buying Bitcoin, imagine what would happen if the industry grew by even 1%.
Is Bitcoin Bull Run Over?
Bitcoin’s bull run is not over. Technicals are positive, and there is much room for recovery. The correction can be said to be a healthy pause. The next leg will leave many in the dust. Strap in.