August 5, 2021

Bitcoin To Reclaim $50,000: Legendary Technical Analyst John Bolinger

3 min read

Technical expert John Bolinger says that the rate of Bitcoin is attempting to go up. He pointed out that the first real target is the bottom side of the prior. This suggests the $48k to $50k variety.

This remained in reaction to a tweet from BigCheds on Twitter which published a candlestick chart showing Bitcoin’s progression.

The account tagged John in a follow-up tweet and the latter responded that bitcoin was increasing to the $50k range.

At the end of the tweet, he states to “play it as it lays.”

Related Reading|Billionaire Tim Draper: Bitcoin Will Reach $250,000 By The End Of 2022

John Bolinger produced Bolinger Bands. A technical indicator that is utilized extensively across the market. The tool uses a set of pattern lines outlined 2 basic deviations, favorably and adversely, far from a simple moving average (SMA) of a security’s rate. While the tool works fantastic with its basic settings, it can likewise be adjusted to a user’s preferences.

“Bottom in place, costs attempting to move higher, first genuine target is the bottom side of the previous range, call it 48 to 50k.”

– — Tweet from John Bolinger from his Twitter account @bbands.

Calling the cost of Bitcoin is never a specific science. Projections are mainly just opinions and educated guesses made by analysts. They do this by examining past rates and movements of an asset over a time period to attempt to gauge where the property will go next.

When a reply to the tweet stated that they were having a hard time being bullish on Bitcoin when it still hasn’t broken the $43k variety, John Bolinger replied, “& ldquo; The market will let us know what to do, the rest is simply opinion.”

Bitcoin Price Crash

The rate of Bitcoin crashed in reaction to the Chinese federal government cracking down on crypto mining in the country. With mining centers being shut down in Xinjiang, Inner Mongolia, and Qinghai provinces.

Bitcoin price chart from February till date

Bitcoin price surged after the Tesla statement in February|Source: BTCUSD on TradingView.com Bitcoin appears to be on a course to correction since then however not without some bumps along the method.

Elon Musk Tesla Comments

Elon Musk had announced that Tesla would stop accepting payment in Bitcoin for cars and trucks in May due to ecological issues associated with mining.

As anticipated, the market reaction to this statement was not favorable as the coin took a recession. There was a timely sell-off of coins in response to this news, dragging the rate down, although not by a big margin.

Tesla’s statement that they were accepting Bitcoin for vehicles back in February offered the marketplace a substantial boost. Pushing the coin into the $40k range. An uptrend that would continue up until Bitcoin struck its all-time high.

So it’s not a surprise that the announcement that they will not be accepting Bitcoin payments had the opposite impact on the coin.

Related Reading| MicroStrategy Sells $500 Million Notes To Buy Bitcoin

The electric vehicle producer has specified that they will resume Bitcoin payments when mining operations transition to more sustainable energy.

Bitcoin Adoption Could Help Get It Back To $50k

Last week, the crypto space was abuzz with the news of El Salvador accepting Bitcoin as a legal tender. The country taped an exponential boost in the amount of Bitcoin remittances from citizens overseas sending refunds home to liked ones.

Following this, other South American countries like the Bahamas have said that they are considering making Bitcoin a legal tender.

Tanzania’s president has likewise called for the reserve bank to begin developments for crypto adoption.

Faith in the market is returning up as institutional financiers are continuing to buy Bitcoin.

A culmination of these events has led to a rate increase but very little as the coin is still having a hard time breaking $41k.

Included image from Blockchain News, chart from TradingView.com