Analysts Predict Bitcoin’s Price at $80,000 by April As Tesla Allows BTC Payment
As Bitcoin price continues to trade at the mid-$50,000, indicators are turning more bullish. At 18:23 GMT on Wednesday, Bitcoin was exchanging hands at $55,696, up 0.57% over the last 24 hours.
Despite the strained movement of the coin as it barely holds above its support level, Glassnode
Bitcoin price expectations for April are high with lots of investors placing their new bets on $80k.
The above chart shows that many investors on the Deribit’s platform are confident that the cryptocurrency’s price will settle at those levels. Also, there is also a high volume of calls for a Bitcoin price at $120,000 for the same date, April 30.
In support of the bull case, Glassnode’s Reserve Risk metrics indicate “strong
Reserve Risk indicates a strong conviction of long-term holders at these price levels.
The current risk/reward ratio to invest and hodl is still attractive compared to previous $BTC cycle tops.
Current level: 0.008
Precious tops: > 0.02#Bitcoin
— glassnode (@glassnode) March 23, 2021
Elon Musk and Tesla support the bull case
Earlier today, Elon Musk announced that Tesla cars can now be purchased using BTC. The green car company’s CEO said the company would operate Bitcoin nodes directly. He also made clear that the company would hold to the Bitcoin it accumulates without converting it to fiat.
You can now buy a Tesla with Bitcoin
— Elon Musk (@elonmusk) March 24, 2021
Tesla first signaled its intention to enter the BTC space when it purchased $1.5 billion worth of Bitcoin in early February. However, for now, the option to purchase a Tesla with the king cryptocurrency will only be extended to
The Technoking noted:
Tesla is using only internal &
open-sourcesoftware & operates Bitcoin nodes directly. Bitcoin paid to Tesla will be retained as Bitcoin, not converted to fiat currency.
The move to not convert the Bitcoin made through car sales to fiat is a strong indication that the company is not just utilizing Bitcoin as a transactional medium, but also as an investment tool.
Analyst William Clemente believes Musk’s announcement strategically coincides with the $6 billion of options set to expire in a few days. Over the coming days, many investors will see their contracts expire worthlessly and on platforms that back their options with physical Bitcoin. Clemente said:
It is worth mentioning that some of these puts are just hedging downside risk, more so referring to positions solely on the short end of the trade that don’t get rolled over.
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