Bitcoin New Price Prediction --- Can Bitcoin Reach $40,000?

There are lots of questions in everyone’s minds after seeing Bitcoin jump above $30,000 that questions have started raining. Should we have fun in this rain or sit at home like nothing happened? In this piece, you will definitely get the answers to all of your questions.

There are two possibilities here after seeing Bitcoin trading above $30,000.

Bitcoin will rise from $30,000 to $35,000 and in a few weeks, it may even reach $40,000.

Bitcoin will come back to $25000 after taking rejection from $32000.

Choice?

So, out of these two possibilities, I would prefer to choose the first option. Positive news has just started to appear in the market, including Jerome Powell’s crypto-friendly statements, news of the US government launching its own crypto exchange, the termination of Gary Gensler, money flow, and the race of Bitcoin Spot ETFs.

It would be foolish to bring up negative points in such a positive environment. Just about a week ago, Russia invaded Ukraine again, causing the price of oil to spike, but now everyone is taking the outcome of this war as normal. This is unlikely to have a significant impact.

After the statement of Jerome Powell, the Dollar Index declined rapidly and is currently trading at 102.70. The decline of the Dollar Index has historically provided bullish indications for Bitcoin. Bitcoin will remain bullish as long as the DXY moves below 103.50.

Because of these reasons, I am looking at Bitcoin very positively.

Bitcoin Price Behavior

The price of Bitcoin has been in a correction mode from mid-April to mid-June. After spending time in correction mode for about 62 days, a falling wedge pattern was formed. After getting the breakout of this falling wedge, there has been a huge movement.

It had reached a high of $31,000 in mid-April and has recently reached around $31,400. It means that we have reached the top of this year.

Bitcoin increased by $11,000 from March to April, rising from $20,000 to $31,000. Bitcoin was unable to break beyond $31,000 in mid-April due to a price correction mode after a big rally. This MAY not happen this time.

As a result, selling Bitcoin at $30,000 or staying negative might be risky.

Structure

Bitcoin is continuously making bull move by making higher high patterns. This time there is a strong volume in the higher high pattern and fresh buyers have entered, so this momentum will remain strong.

Elliott Wave

There is a 5 wave structure in the Elliott wave and on seeing this structure in Bitcoin, we are currently traveling in the 4th wave.

After the end of the 4th correction wave of the Elliott wave, the 5th bullish wave will start. In the Elliot wave, the 5th wave is very bullish, and a big green candle is formed.

4th Wave

At the moment, it is difficult to predict where the fourth wave will end. Since Bitcoin completed its fourth wave at $30000, it is expected to reach $29800-$29500. When the 4hr candle closes above $30500, we will have confirmation that the 4th wave has ended.

5th wave

As soon as the $31000 level will break, we will receive confirmation that the 5th wave has begun. The 5th wave will appear like a crazy bull, it will be difficult to catch. To catch this bull, keep an eye on the 5th wave.

What are the Buyer and Seller Doing?

( CURRENT VIEWPOINT OF BOTH BUYERS AND SELLERS )

Seller

In the eyes of the seller, bitcoin is in the zone of overbought, and considering it as a bull trap, they are predicting a double top. Open Interest is up, the Funding Rate is positive, Greed is at 65 in the Fear and Greed Index. Seeing all this, sellers are shorting Bitcoin.

During the last week’s rally,

$30 million worth of shorts positions were liquidated at $28000,

$40 million worth of shorts positions were liquidated at $30000,

$30 million worth of shorts positions were liquidated at $31000.

Those who have shorted Bitcoin currently have stoploss at $31000 and $31500. Liquidation of all shorts is above $31000.

Buyer

From the viewpoint of the buyer, Bitcoin is in the Up trend. Buyers like to acquire Bitcoin at a low cost. Those who did not acquire Bitcoin below $30000 are now slowly doing and because of this, they are acquiring BTC even a little bit deep.

Trading and holding near this year’s top of $31000 is a positive indication for the buyers. Even if all the indicators go into overbought, buyers are going to remain strong till there is no negative news.

After looking at the above Buyer and Seller viewpoints, if Bitcoin starts trading over $31000, a big bull rally may be come.

Target Chart

BTC may go up to $37000 if there is a breakout at the $31000 level. According to the technical target, it may go up to $36000 and according to human emotions and phycology, it may go up to $37000.

To be on the safe side, we should wait for a breakout.

By combining all the points of Bitcoin mentioned in earlier, I presented my opinion on the entire situation of the market. Before taking any significant action please do your own research and analysis. It is in your hands to enjoy or miss this event.

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