Bitcoin expected to hit R894 000 early in 2024

Despite the onset of the new year, Bitcoin, the prominent cryptocurrency, continues to show strength, with its price expected to reach $48,000 (R894,753) in the upcoming weeks.

As of Tuesday morning, the Bitcoin price was trading at $45,939 (R858,214), marking a high point of $46,995 on Monday, the highest in the last month.

An analysis conducted by Trading Rage suggests that Bitcoin’s price has been consolidating above the $40,000 level for the past few weeks. The analysis indicates a likely surge towards the $48,000 resistance zone, citing the Relative Strength Index values above 50%, indicating momentum in favour of buyers.

Craig Erlam, Senior Market Analyst at OANDA, commented earlier this month that Bitcoin might achieve new record highs in the year. He noted a positive start to the year, with Bitcoin up more than 6% in the first couple of days, trading at a 9-month high above $45,000.

However, it’s important to consider a warning from Matrixport, which predicts a potential 7% decline in Bitcoin over the next two weeks. The company’s analysts mentioned that one of its trading signals has turned negative for the first time since August 2023.

Additionally, Matrixport anticipates the rejection of all spot Bitcoin exchange-traded funds (ETFs) by the US Securities and Exchange Commission (SEC) in January, according to market consensus.