Bitcoin has performed quite interestingly in the last few days. The currency has crossed $40,000 again after trading at mid-$30,000, a multi-month low. Things are looking better and analysts are hoping this will be the start of another peak for the world’s number one cryptocurrency by market cap. According to Willy Woo, however, things are not quite where they should be.
Willy Woo targets $200,000 for Bitcoin
Woo initially believed that Bitcoin would end the year with the highest possible performance. However, Woo now states that Bitcoin will likely end the year with just $200,000, which is significantly higher than where it is now. But according to Woo, without the bearish activity last month, BTC would likely have risen even higher.
In a recent interview, Woo explained that there is good news that Bitcoin is not currently trapped in a bear market, and he thinks that the currency’s drop to $30,000 is nothing to particularly worry about. However, the analyst was pretty confident that the currency would skyrocket to around half a million dollars, and that may not happen as BTC has now been in “sleep mode” for a while.
Woo says: ”By the end of this year, Bitcoin was starting to look like it was climbing to $300,000, $400,000, or even $500,000. But now it’s starting to lower its orbit. It looks like it will easily reach $200,000. It could also reach $300,000, but we’ll have to see how that develops.”
Woo claims that the damage done to Bitcoin by Elon Musk is greater than anyone can imagine. He believes that Tesla’s decision to end all BTC payments for goods and services before they even start put everyone in the wrong frame of mind when it comes to cryptocurrency, causing the world’s largest digital asset to suffer the worst drop in its 12-year history.
When that tweet came out, it triggered serious sales, not just in the derivatives and spot markets. We are now in a situation where Bitcoin is heavily discounted below the fundamentals.
Is it a realistic goal?
Rafael Schultz-Kraft, CEO of blockchain intelligence firm Glassnode, said in an interview that he agreed with Woo’s view that “it’s just a simple fix”, but still believes the year-end price estimate of $200,000 is unrealistic.
According to the firm, it is unlikely that Bitcoin will enter the six-digit region before the end of 2021.
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