"We'll have to buy." What will happen to the Bitcoin rate after $30 thousand?

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Author: Robert Strickland (crypto expert)
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"We'll have to buy." What will happen to the Bitcoin rate after $30 thousand?
Experts told about the prerequisites for bitcoin price growth and evaluated the prospects for the further price movement of the first cryptocurrency

"It is important to gain a foothold."
BitRiver financial analyst

Bitcoin for the first time in 10 months broke through the key level of $30 thousand. The main trigger for the price increase was the confidence of investors in the near completion of the US Federal Reserve (Fed) tight phase of monetary policy. In fact, the strengthening of BTC could have happened a few days earlier, but most investors were absent from trading because of Good Friday and Easter in the Catholic world.

On Monday, traders went back to work and reacted to Friday's set of statistics on the US jobs market quite logically - with a rise in prices. NFP employment data showed that employers feel confident and leave hiring rates high.

BTC has gained 6.74% since the beginning of April versus a 23% appreciation in March. The important thing now is to consolidate above $30k. The next ambitious goal is $35k, but it will take time to reach it.

"Now we'll have to buy at $30k."
ENCRY Foundation co-founder

Bitcoin passed to growth after a long period of consolidation in the interval between $27 thousand and $28.5 thousand. The coin saved up impulse and managed to overcome the resistance level of $28.5 thousand and then on a wave of bull sentiment it took a new top - a long-expected mark of $30 thousand.

It is hard to say yet whether there will be a correction, because the market is waiting for the data on consumer price growth in the USA (CPI), which will be unveiled on April 12. This index always influences the situation in the cryptocurrency market. You have to understand that it can both push up and crush down and stop Bitcoin's rise and continued high inflation can have both effects, i.e. if inflation is still quite high and does not meet expectations for a decline, bitcoin may react with both decline and rise in the short term.

In the long term, the continued high inflation will most likely help Bitcoin to grow, because BTC is seen by some investors as an instrument to hedge the inflation risks. The collapse of the banking system, which is not expected to fully manifest itself yet, also contributes to the growth of Bitcoin. Some of the deposits that have been withdrawn from U.S. bank accounts are eventually deposited in the crypto market, as retail investors in a panic looking for tools to preserve value and fear a repeat of the 2008-2009 crisis.

Anticipating questions about whether investors will have an opportunity to buy bitcoin "cheaply" for $15k, I want to remind you that in the interval between $15k and $25k, bitcoin was trading for 275 days, which means that investors had almost a year to decide to buy the asset. If they didn't do it, now they'll have to buy Bitcoin at $30k. In the short and medium term, BTC price is unlikely to go below $20k.

"Everything depends on inflation data."
Head of AMarkets Analytical Department

Bitcoin has been in a sideways position for quite a long time, accumulating strength for a breakthrough to the level of $30k. This happens today - the coin has crossed this level. There are probably several reasons for that.

Firstly, the US inflation data is expected to be released in March. A slowdown in price growth will be a positive for the stock market - bitcoin usually follows. Lower inflation gives chances that the Fed will move to ease monetary policy, which will push indices and cryptocurrencies up.

Second, amid forecasts of a global recession, a growing number of investors going into crypto is a way to protect funds. This explains the influx of capital into the crypto market. Now everything depends on inflation data: its decrease will give a chance for bitcoin growth to $32-34 thousand, and the price increase will be negative - then we can expect a rollback to $27-28 thousand. By the end of the week, these tendencies will show their full force.

 

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