Today Bitcoin adds more to its recent rally by cresting $44,000 and settling at around $43,500 at press time.
“At the end of last week, bitcoin reversed a couple months of downward momentum and reclaimed $40,000,” writes Nathaniel Whittemore at Coindesk. “Now, as momentum builds, the community is wondering whether this is a temporary reprieve or a fundamental turn back to the bullish.”
As Bitcoin’s per-coin price increases, some analysts are calling for the coin to hit $200,000 this year. If that happens, hodlers will become wildly rich.
“Bitcoin became increasingly correlated with equities toward the end of the fourth quarter of last year and fell when faced with the prospect of central bank tightening,” writes Will Canny, citing input from the firm FSInsight and a report called “Digital Assets in a Post-Cycle World.”
Elsewhere, tech media report on opportunists taking advantage of Bitcoin volatility to innovate on-ramps, as in the case of a Redditor who apparently created a “buy the dip bot” improving BTC buy-in by 10%.
“The bot places limit orders at several intervals below the current price, and if an order gets executed or canceled, it starts again,” writes Joseph Hall at Cointelegraph. “Using tech from Amazon Web Services, Python, Lambda, DynamoDB and React.JS while hosted on GitHub, the cost to run is low, ‘about $5 per month.’”
It’s always useful to note, though, that buy the dip strategies require a larger rebound at some future point. Bitcoin could go to $200,000 – it could also deflate back down to, say, $6,500 and stay there.
Having said that, a survey of current Bitcoin predictions online doesn’t show many analysts suggesting this kind of decrease. There are prominent calls for BTC to hit $100,000, $200,000, or even $500,000. We will stay on price changes as the year progresses.