Bitcoin (BTC) saw a second strong bounce from support in the $30,000 area late on Wednesday, with the bulls remaining in control for now.
The world’s largest cryptocurrency by market capitalization was last trading around $30,500, within this week’s ranges as support in the form of the late-April/early May highs in the $30,000 continues to hold firm.
Bitcoin is on the cusp of closing out a strong month, with June’s gains currently standing around 12%.
That’s an impressive recovery given just two weeks ago BTC was trading below $25,000 amid concerns about the US Securities and Exchange Commission (SEC)’s increasingly aggressive stance against the US crypto industry.
The agency announced new lawsuits against Coinbase and Binance earlier this month, the latest major moves in its quest to bring the crypto industry into “compliance” via regulation by enforcement.
Spurring the strong recovery from earlier monthly lows was the news that BlackRock, the world’s largest asset manager, had filed for a spot bitcoin ETF that experts think has a strong chance of being approved.
A series of other major financial institutions have followed BlackRock’s move, with big names like Fidelity also filing for a spot ETF.
If spot bitcoin ETFs are approved, this should bring a lot of institutional capital that has been waiting on the sidelines into the bitcoin market, substantially bolstering demand.
Bitcoin (BTC) Price Prediction – Time to Buy?
Bitcoin price predictions remain upbeat for a number of reasons.
Firstly, the tailwind of optimism surrounding spot bitcoin ETFs and “institutional adoption” is unlikely to fade anytime soon.
Moreover, bitcoin remains resilient to macro headwinds such as rising US bond yields as a result of increasing bets for Fed tightening as US economic data points to stronger than expected growth.
Bitcoin also tends to perform well in July, having rallied a double-digit percentage figure three years in a row now for the month.
Technicals are also supportive of continued upside.
Bitcoin’s strong bounce from its earlier monthly lows confirmed the 2023 uptrend, and that the 200DMA remains intact as strong support.
Bulls are hoping that BTC will soon pop to the north of recent highs in the $31,000s and push on towards major resistance levels in the $32,500, $33,000 and $34,000 areas.
For those looking for assets that can deliver decent near-term gains, bitcoin could be a good option.
But with the cryptocurrency still down 55% from its 2021 record highs in the $69,000 area, bitcoin is probably better viewed as a long-term asset to buy and hold.
If the asset is in the early stages of a new bull market, and if the new bull market does take bitcoin 3-4x above its prior all-time high in the coming years (as happened in 2021), then bitcoin could eventually reach into the upper $100,000s.
That could mean 5-6x gains for investors who buy now.
Bitcoin (BTC) Alternatives to Consider
While the bitcoin outlook is strong, investors should always be on the lookout to diversify their crypto holdings.
One high-risk-high-reward investment strategy that some investors might want to consider is getting involved in crypto presales.
This is where investors buy the tokens of up-start crypto projects to help fund their development.
These tokens are nearly always sold very cheap and there is a long history of presales delivering huge exponential gains to early investors.
Many of these projects have fantastic teams behind them and a great vision to deliver a revolutionary crypto application/platform.
If an investor can identify such projects, the risk/reward of their presale investment is very good.
The team at Cryptonews spends a lot of time combing through presale projects to help investors out.
Here is a list of 15 of what the project deems as the best crypto presales of 2023.
See the 15 Cryptocurrencies
Disclaimer: This section features insights by crypto industry players and is not a part of the editorial content of Cryptonews.com.
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