The pullback from Chinese regulators to Bitcoin miners in the country has greatly affected the market. Bitcoin and other altcoins have so far recorded as much as 50% in losses and the market is anticipating a further price dip in the months ahead.
As the market panics, analysts and others have taken to Twitter to drop their two cents on where they think the market is headed in the near term and in the long term.
Musk and Chinese regulators caused the most damage to BTC’s price this period
One of the most notable predictions that have been making rounds on Twitter has been a comment from the founder of Bitcoin’s stock to flow model PlanB, who in his most recent tweet, noted that Bitcoin’s major dip below $34,000 can be traced to the Chinese mining crackdown, as well as the bearish outbursts from the billionaire Elon Musk.
Excerpt fromPlanB’s tweet read:
“Bitcoin is below $34K, triggered by Elon Musk’s energy FUD and China’s mining crackdown.”
Bitcoin will hit $135k by December says planB
He further added that there is another fundamental reason, one which he is yet to reveal, which he believes is going to further drive the bearish trend this June, and possibly July.
However, using technical analysis and on-chain analysis, PlanB is predicting that by August, Bitcoin should have been able to fight off the bear trend, while also building up enough momentum to see it cross $47,000.
A slight dip will cause Bitcoin to shave off $4,000 from that prize Mark further down the line in September, but by October, Bitcoin is expected to go as high as $63,000, and above $98,000 in November. It gets even more bullish as PlanB’s closing price prediction for the big bull is way above $100,000 come December.
“There is also a more fundamental reason that we see weakness in June, and possibly July. My worst case scenario for 2021 (price/on-chain based): Aug>47K, Sep>43K, Oct>63K, Nov>98K, Dec>135K.” Wrote PlanB.
Meanwhile, the pressure from the Chinese government has yet to push Bitcoin miners off track. As CryptoQuant’s Ki Young Ju noted, data has shown that Chinese regulators have been forcing bitcoin miners to sell their rigs, but they have chosen to hold regardless.
“Miners keep holding BTC.
Bitcoins periodically sent to exchanges from miners are decreasing. Chinese regulations can force miners to sell their rigs but not Bitcoin. (Disclaimer: I’m not a Bitcoin maxi)”