Schlagwort: crypto business

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3 macro factors could push Bitcoin to $10,000 by 2023, says Stifel strategist

Bitcoin price decline to lows of $10,000 by next year amid Federal Reserve monetary tightening, said Stifel strategist Barry Bannister.

Barry Bannister, the Managing Director and Chief Equity Strategist at wealth management firm Stifel believes Bitcoin could plunge towards $10,000 by 2023.

In a note to Insider, Bannister points to global money supply, the real 10-Year yield, and equity risk premium as three macro factors that could negatively impact BTC price throughout the year and into 2023.

These factors, according to the strategist, come into play alongside the US Federal Reserve’s monetary tightening and interest rate hikes. The fundamental picture, Bannister notes, suggests a continued drawdown for Bitcoin.

First, Bitcoin’s price could fall if the global money supply dynamics see a strong dollar slow down the global M2 money supply. With BTC and the S&P 500 moving with global money, a tighter US financial policy could see a highly speculative asset as Bitcoin drop sharply.

Another macro factor the Stifel exec pointed to is the real 10-year yield rising as a factor that could hinder Bitcoin. The same would happen if a higher 10-year US Treasury yield pushes gold prices lower.

“If bitcoin divided by gold falls to the low end of its range (Fed tightens) bitcoin could drop to $10,000 by 2023,“ the strategist explained.

The third factor according to Bannister is ‘equity premium risk’, which he explains as a function of the Fed’s expected aggressive rate hikes. According to him, the S&P 500 and Bitcoin could break down by 2023 as the US central bank “keeps going’ with rate hikes.

Higher rates would raise the ‚equity risk premium, spelling a bearish outlook for BTC, he noted. On the flip side, a lower equity risk premium would be bullish for the pioneer cryptocurrency.

Bitcoin reached a high of $69,000 in 2021 but has struggled as it trades in tandem with stocks since that peak. Currently, the benchmark crypto asset is down nearly 45% from that all-time high, with the BTC-USD pair trading near $38,455. 

The post 3 macro factors could push Bitcoin to $10,000 by 2023, says Stifel strategist appeared first on Coin Journal.

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Cosmos (ATOM) remains above the crucial support zone and could surge 18% in the coming days

Cosmos (ATOM), like other major coins, is feeling the heat from the rising tensions in Eastern Europe. The coin has seen some decline over the past few days, and as bears eye the $25-mark, ATOM has remained quite resilient in the face of this massive pressure. Here are some highlights:

  • Bulls have fiercely defended the $27.64 support in recent days.

  • However, at press time that threshold was breached with ATOM now trading at $26.60.

  • Despite this, we expect ATOM to bounce back in the near term.

Data Source: Tradingview 

Cosmos (ATOM) – Price action and prediction

After some selling pressure last week, ATOM looked poised to return to its support zone of $25. But bulls managed to fend off selling pressure, maintaining the price action above $27 for the most part. 

However, at the time of writing, this important zone had been breached. ATOM was trading at $26.66, down about 7% over the last 24 hours. Nonetheless, we still think that ATOM will bounce back above $27.

It will be interesting however to watch how long the bulls can keep the coin above that. If indeed we open Monday above $27, then expect ATOM to surge past its 200-day SMA of around $30. The coin could even gain further and hit $32 in the coming days. But if bears manage to keep the price below $27, we could see a drop below $25 with further weakness following.

Why you should consider Cosmos (ATOM)

Cosmos (ATOM) is seen as one of the most innovative blockchains that hope to transform the decentralised ecosystem. It is not an Ethereum scaling solution per se, but it offers a great alternative thanks to its speeds and low gas fees. 

Cosmos has also seen an increase in on-chain developments with several top DApps coming on board. It is a very promising project that is worth the attention of any serious investor.

The post Cosmos (ATOM) remains above the crucial support zone and could surge 18% in the coming days appeared first on Coin Journal.

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Is Avalanche (AVAX) heading for $110 in the near term?

Avalanche (AVAX) closed Friday’s session trading on the red and has continued that weakness well into Saturday. The coin has fallen for three consecutive days. But even with this somewhat bearish trend, there is enough upside for more gains in the near term. Analysis to follow below but first, some highlights:

  • Bear pressure has seen AVAX lose nearly 18% in two days.

  • The coin is currently trading at $82.78, down around 2% in 24 hours

  • The key is to hold the coin above $80 in the coming days.

Data Source: Tradingview

Avalanche (AVAX) – Can it go to $110?

It’s hard to see any path towards $110 for AVAX given the recent price movement and broader risks in the market. But when you look at the history of AVAX and its performance, this is not a big hurdle. 

In fact, after hitting lows of $53 in January, the coin has surged by nearly 80%. It won’t be a surprise if we see such gains again. The key is to keep the price above $80. At press time, the coin was trading at around $82. 

We also think that the current retracement seen over the last three days will stop at $80 before there is enough demand to push AVAX further. The coin also remains above its 20-day EMA, suggesting more bullish strength. If bulls hold the $80 support, then a swing up towards $110 is very feasible.

Is Avalanche (AVAX) worth looking at?

When analysing coins worth buying in the crypto market, there is no doubt that Avalanche (AVAX) will be among the top ten. It is a very promising project that has some decent things in its favour. 

The $80 mark is a good entry zone for those who have not bought into AVAX yet. The coin is likely to offer outstanding value in the longer term.

The post Is Avalanche (AVAX) heading for $110 in the near term? appeared first on Coin Journal.

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Sell of risks for Ripple (XRP) continue to build – Here is why the coin could hit $0.6

After reporting some significant gains at the start of February, Ripple (XRP) has seen a period of price retracement that has given bears the upper hand. This selling pressure continues, and while the coin has stabilised above the $0.7 mark, there is still a huge sell-off risk. Here are some notable highlights:

  • At press time, Ripple (XRP) was trading at $0.7773, virtually unchanged in 24 hours.

  • XRP has found strong support at $0.7 over the last few days.

  • However, selling pressure could bring the token back to $0.6 in the near term.

Data Source: Tradingview

Ripple (XRP) – Price action and analysis

After seeing a decent climb in February, Ripple (XRP) is now reporting some selling pressure as investors lock in profits. Despite this, the coin has found very strong support around the $0.7 mark. 

In fact, at the time of writing this post, XRP was trading slightly above that threshold with a price of $0.77. The goal for bulls is to hold the price action above this mark. But there is a huge sell-off risk here. 

We expect bears to breach the $0.7 support and push the coin back towards $0.67 in the coming days. This will represent a drop of about 17% or thereabout. Ripple bulls will try to find sufficient demand at $0.6, but we may see further weakness with systemic risks in the broader crypto market due to tensions in Eastern Europe.

Is Ripple (XRP) ripe for investment?

Ranked among the top ten most valued crypto assets in the world, Ripple (XRP) has always been ripe for purchase. There is however some ongoing litigation between the coin and the SEC. 

This could pose major risks for short-term buyers. It would be best to see how the lawsuit progresses in the coming weeks before going all-in with XRP.

The post Sell of risks for Ripple (XRP) continue to build – Here is why the coin could hit $0.6 appeared first on Coin Journal.

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US Billionaire Mark Cuban remains bullish on Polygon (MATIC) despite recent price weakness – here is why

US billionaire and entrepreneur Mark Cuban has remained bullish on Polygon (MATIC) even as the altcoin reported some price weakness in recent days. Cuban believes that in 2022, Polygon will outperform Bitcoin and Ethereum in growth. But despite this, we have seen some bearish trends in MATIC over the last week or so. Here are some highlights:

  • MATIC is currently trading at $1.58, down by about 5% in the last 24 hours.

  • The coin has been on a downward trend in the last week.

  • Price weakness could get worse for Polygon (MATIC) due to the geopolitical crisis in Europe.

Data Source: Tradingview 

Polygon (MATIC) – The long-term picture

Investors like Mike Cuban typically look at the long-term prospects of a coin and not the short-term ones. Yes, MATIC has seen some negative price action in recent days. In fact, the coin has actually struggled to cross over the $2 mark and is likely to face further weakness in the coming weeks. 

But the long-term fundamentals for Polygon are impeccable. We are also starting to see a lot of institutional money going into MATIC. This is the long-term picture Cuban is talking about. 

The billionaire sees Polygon as the most important Ethereum scaling solution with outstanding potential. Also, the 2022 outlook for MATIC is quite positive. Some prediction even shows that MATIC could in fact hit $100 by 2025.

Why you should buy Polygon (MATIC)

As noted above, the fundamentals for Polygon (MATIC) are simply amazing. The project has been making major moves, including building its ecosystem to take advantage of the growing NFT craze and crypto-related gaming. 

Polygon has the potential to become as huge as Ethereum. The fact that it is trading at $1.5 is a sure sign that it is time to get in. This coin could blow up very fast in the near future.

The post US Billionaire Mark Cuban remains bullish on Polygon (MATIC) despite recent price weakness – here is why appeared first on Coin Journal.