Bitcoin could hit $ 333K ‘parabolically’ if this BTC price fractal plays
A change of course by the Fed could lead to an “escape to safety” and send the Bitcoin price movement into the stratosphere.
A new forecast says Bitcoin (BTC) could target $ 333,000 by May 2022, when the Federal Reserve offers a “perfect storm” of low interest rates.
Filbfilb, the co-founder of the Decentrader trading platform, updated the strangely accurate price forecast on December 27th and came up with a staggering result of the BTC price campaign over the next year.
Analyst: “You don’t have enough crypto” for Bull Run 2022
After trading almost exactly in 2021, BTC / USD could make big gains over the next six months if conditions stay the same.
Experts believe the Fed will make two rate hikes next year, and these are likely to be overvalued – but an unexpected change in substance could have far-reaching consequences.
For Filbfilb, Fibonacci sequence analysis coupled with historical price action in previous Bitcoin halving cycles could spike above $ 300,000 as Fed officials cut interest rates.
“To get there parabolically,” he told Cointelegraph, “we would probably need a perfect storm of the Fed’s inability to hike rates (which may already be priced in) and inflation leading to a flight to the safe haven of BTC .
An accompanying chart posted on Twitter in December 2018 when BTC / USD bottomed at $ 3,100 shows how predictably price movement has been since then.
“Price as expected”, Filbfilb told Twitter followers.
“You don’t have enough crypto for what will happen in 2022.”
As astonishing as it sounds, such a scenario is – at least technically – not as far-fetched as one might think.
Signs have pervaded the market as more indicators point to a bullish breakout. Even the data from the low timeframe is encouraging – for example, on December 27, BTC / USD closed a four-hour candle above the major 200-day moving average (MA) for the first time in six weeks.
The last time the uptrend hit the same peak was in late September, at the start of a rally that hit an all-time high of currently $ 69,000.
BTC 4 hours:
The candle closes after about an hour.
It could be the first close above 200mA in 6 weeks.
The price movement before the last cross looks similar.
This time? pic.twitter.com/sMkFMEB9Ky
– Nunya Bizniz (@Pladizow) December 27, 2021
Stocks can win big – but not for long
Commentators on macro movement say the future looks bright for both stocks and the US dollar’s slowdown – even if interest rates rise as expected.
Related: Countdown To The End Of The Year: 5 Things To See In Bitcoin This Week
George Gammon, author of the Rebel Capitalist Pro investment newsletter, is optimistic as the last week of 2021 begins.
“I think you could see the stock market rise over the next several months as the tale of the end of the pandemic continues,” he said. forecast.
“This allows the Fed to hike rates after the QE is zero. Now that the market research and the realization that the economy is in recession see the effects of higher interest rates, the decline can be huge. “
Hence, the impact on Bitcoin in such a scenario will depend on its correlation with stocks and whether or not it can recover from a sudden downturn, as Gammon suggested, similar to what was proposed in March 2020.
Even so, popular opinion still believes that the top not in yet for Bitcoin after the volatility in early December.