The Bitcoin price has been experiencing a series of price swings for two years now. The cryptocurrency has been on a bullish threshold several times, but has failed to maintain bullish momentum for long.
Nevertheless, a Bloomberg analyst has predicted an unfeigned bull run for BTC, but the potential upside comes with certain factors and conditions.
Investors are preparing for a possible Bitcoin Bull Run
The slow growth of Bitcoin The price has left investors and crypto enthusiasts hoping for a potential bull run since the 2022 crash that saw the cryptocurrency fall from $46,000 to less than $20,000.
The morale of the crypto space however, is increased after a prediction created by Senior Macro Strategist at Bloomberg Intelligence, Mike McGlone, proposing a possible bull run for Bitcoin.
In an X post (formerly Twitter), the senior analyst implies that if Bitcoin price breaks above $30,000, investors should expect a significant bull run, similar to the uptrend recorded in 2020 when Bitcoin was at its all-time high .
McGlone explained that Bitcoin’s $30,000 is analogous to its $12,000 price in 2020, just before the peak. To put this in perspective, in 2020, when Bitcoin’s price was as low as $12,000, the cryptocurrency recorded one of the highest gains in its history, and McGlone has equated that price jump with the bullish momentum he envisions for Bitcoin if it exceeds $30,000. price threshold.
“$30,000 bitcoin could become another $12,000 with Fed tightening,” McGlone said in the X-post.
He also added that the price of Bitcoin may rise substantial growth if the regulatory burden is addressed and Bitcoin ETFs are finally approved.
“The inevitable approval of Bitcoin ETFs in the US is getting closer, but the elephant in the room for all high-risk assets remains. The Fed is still tightening despite the trend toward economic contraction,” the analyst said.
Factors hindering bullish momentum for Bitcoin price
As the crypto world looks forward to more confirmation of a favorable price reversal for Bitcoin, several factors could hamper Bitcoin’s expected growth trajectory.
Industry experts have stressed that increased adoption of the Bitcoin ETF will follow Grayscale’s win against the SEC can have a significant impact on the price of Bitcoin. However, the US Securities and Exchange Commission (SEC) has previously rejected applications spot Bitcoin ETFs by leading financial services and crypto exchanges in the industry.
The SEC has also deferred applications for Bitcoin ETF from reputable companies Black rockAnd WisdomTree even after judges of the US District of Columbia Court of Appeals did not favor the SEC’s rejection Grayscale’s Bitcoin ETF.
In addition, the SEC has also aggressively sued many crypto exchanges, including Binance and Coinbase. This lack of a proper regulatory framework has affected the prices of cryptocurrencies, including Bitcoin. Thus, crypto investors are hesitant to invest in an exchange that faces multiple lawsuits and potential legal ramifications.
Bitcoin’s transaction volume has also taken a hit and is down 3 year lows. Transaction volume fell as much as 90% before a potential rally was cut short and the cryptocurrency positioned at a bearish level. Additionally, Bitcoin mining what was once a lucrative crypto venture has also seen a significant decline for participants.
While the factors impeding a Bitcoin price growth spurt are significant, investor expectations still remain strong as they prepare for a price spike.
BTC price falls to $26,000 as interest wanes | Source: BTCUSD on Tradingview.com
Featured image from iStock, chart from Tradingview.com