The expected bull run collapses at the end of 2021 as the Bitcoin price drops. After hitting an all-time high of USD 68,600 on November 10, the price of Bitcoin plummeted to USD 46,600 on Tuesday, December 28, signifying a 32% fall.
In 2021, this is the most significant drop since the 54 percent drop in mid-April last year, when the price reached USD 29,400 on July 21. The expected bull run collapses as the Bitcoin price drops at the end of the year.
Since the beginning of 2021, during the bull run that began in October 2020, several market experts, traders, and other market participants have expected Bitcoin’s price by the end of the year to reach USD 100,000.
In March, Willy Woo, one of the most well-known Bitcoin market experts, indicated that bitcoin was experiencing the most major supply shock in its history owing to increased stockpiling on the part of long-term investors.
At the time, the analyst raised his BTC price estimate for the end of 2021 from $ 250,000 to $ 300,000
Woo revised his forecast for the conclusion of the current cycle at the end of 2021, predicting that the current bullish process would last until well into 2022, as we describe in this article.
The fundamental parameters of the blockchain do not confirm that we are in a bearish phase of Bitcoin since the maximum of the cycle would not have occurred yet, the analyst asserts.
Historical data may fail after the expected bull run collapses
Messari forecasted at the end of February that if Bitcoin’s price followed the growth trajectory of the 2017-2018 cycle, it might conclude the year at USD 300,000.
Messari picked April 2015 as the start date for the process, completed in 2018. Its reasoning is based on the current Bitcoin cycle, which started in December 2018 with a low of less than $ 3,400.
The two courses intersect, and they appear to have substantially coincided until the end of February of the current year, 2021.
As seen in the graph below, the prior cycle’s curve (in blue) suggested that if the current price followed the same growth trend, we would have a price of USD 292,000 in December, whereas in reality, it is more than six times lower.
Other analysts, who did not focus on the end of 2021 as a specific date for their predictions, refer to price levels for Bitcoin close to half a million dollars in a few years.
The Argentine lawyer and former treasurer of the Xapo company, Carlos Maslatón, predicts for the next few months a Bitcoin price between USD 78,000 and USD 110,000.
But, in addition, it shows numerical precision in its prediction for the next 2 or 3 years; Maslatón affirms that in that period, Bitcoin will reach USD 399,759, as we reported in this medium.
For his part, Anthony Scaramucci, founder of SkyBrigde Capital and former director of communications for the White House, said in mid-November that he recommended buying Bitcoin, even at the current price, above $ 60,000.
He insisted on that recommendation because he estimated that, by mid-2025, the price of the first cryptocurrency would reach $ 500,000.
After a modest recovery, Bitcoin is trading at $ 47,867, bringing its annual return, at the time of writing, is 62.8%.