Bitcoin Explodes by Over Rs 17,82,920, Investors Become Rich

Bitcoin was battered by the ongoing decline in cryptocurrency prices over the past two decades, leading to a significant decline in investor interest. However, the start of 2023 is shaping up to be a good one for cryptocurrency investors. Bitcoin’s bullish momentum continues, with January 2023 recording a 23 percent increase in just seven days and a 26 percent increase in the past 30 days, breaking key support points to trade at ₹17,82,920.

Bitcoin is trading around this price point for the first time since November 2022. According to CoinGlass, nearly $125 million in altcoin liquidations were recorded on January 14th. This brings the total since January 11th to $300 million. Over the three days, altcoin liquidations totaled nearly $775 million. This is their highest daily level since mid-2021, said Dylan LeClair, senior analyst at UTXO Management.

According to analysts, over the past few days, BTC/USD has shown signs of crossing the $19,000 mark following the start of US equity trading. However, it was unclear whether this was a hoax or a lie. Material Indicators, an on-chain analytics resource, noted that Bitcoin was mirroring Ethereum’s strength on shorter timeframes. A popular trader known as Bluntz also revealed that the asset had broken through key resistance at the 200-day moving average.

Rekt Capital says Bitcoin may rise further.

Bitcoin’s bull run in late 2016 and early 2018 was followed by a prolonged bearish trend due to the COVID-19 pandemic and interest rate hikes by the US Federal Reserve. Rekt Capital also analyzed the events of 2019 that triggered the subsequent bull run in 2020.

Rekt Capital expects Bitcoin to deliver returns far beyond what people think. They analyzed Bitcoin’s four-year cycle, with halvings as the focal point.

According to them, 2023 is the deadline for its bottom phase. In Bitcoin’s current cycle, 2023 is the third phase, and 2024 will be the fourth. This means that, according to analysts, Bitcoin should reach a price floor this year. They also said that Phase 3, which represents this year, could still generate good returns, as shown by historical data. 2015 saw Bitcoin grow by over 234 percent. 2019 saw the highest growth for Bitcoin, at 316 percent. Based on this, 2023 could be a good year.

FAQs

Q1: Why is Bitcoin’s price rising in early 2023?
Because of renewed investor confidence, reduced inflation concerns, and technical recovery from previous lows.

Q2: How much did Bitcoin increase in January 2023?
It recorded a 23% gain in just seven days and 26% in the past 30 days, reaching ₹17,82,920.

Q3: What do analysts predict for Bitcoin in 2023?
Most analysts, including Rekt Capital, believe 2023 will mark Bitcoin’s bottom phase, potentially yielding strong returns.

Q4: How does the halving cycle affect Bitcoin?
Bitcoin halving reduces block rewards by 50%, which historically triggers strong bullish rallies due to reduced supply.

Q5: What was Bitcoin’s performance in previous cycles?
In 2015, it grew by 234%, and in 2019, by 316%, both leading to major bull markets afterward.

Key Takeaway

Bitcoin’s explosive rise to ₹17,82,920 signals a strong comeback for the world’s leading cryptocurrency. Analysts believe 2023 could mark the bottom of the current market cycle, setting the stage for another major rally in 2024. For long-term investors, this could be the ideal time to watch the market closely and prepare for the next big move.