Bitcoin: Current Situation

According to Crypto News, Bitcoin is feeling uncertain, and its rankings have dropped from 3rd to 6th position among well-known cryptocurrencies. Coins that were previously not in the top 30 are now occupying much more lucrative positions in the currency market rankings. Despite this, analysts say this is not the first time the global cryptocurrency has suffered a price drop.

Not long ago, the USD ratio was 1 to 28,800. And in less than a day, the currency regained its position – reaching $34,000. Based on such fluctuations, experts predict a surge in the indicator.

High Growth Forecast

After conducting numerous analytical actions, experts have become strong advocates that Bitcoin's price could reach $100,000 for 2021. This is because Bitcoin owners have started investing in more risky coins. Due to the volatility of exchange rates, players try to offset the losses they incurred due to the fall of the cryptocurrency.

Currently, Bitcoin has dropped to the second position because investors are awaiting news or other stimuli for the growth of the main currency in the market. It remains the leading token, despite unstable activity values. The coins that have taken the leading positions have only a temporary position.

Sharp fluctuations in exchange rates, their instability, have reduced demand for the product. Therefore, investors are waiting for the situation to change in favor of Bitcoin. May events showed that depositors lost about $9.7 billion in investments.

Compared to buyer activity since the beginning of the year, activity has dropped to a minimum level. There is also a low quantitative search query for cryptocurrencies, including Bitcoins.

Initially, Russia was the leader among cryptocurrency platform users, with a monthly increase in the number of clients. The results of 2020 showed that Russians ranked 5th in terms of profits from trading in the cryptocurrency market. May 2021 was a turning point. Users began to massively sell Bitcoins, remaining at a loss.

Experts have noted that those who are currently buying cryptocurrency at a 50% discount will be able to make a real profit in the future. There has been a sharp outflow of funds from the market. At the same time, major cardholders are not selling their holdings; on the contrary, they are buying coins at the lowest possible price.

Currently, users are divided into two conditional categories:

  • some play on the exchange with less risky currency means;

  • others accumulate and expect the growth of tokens.

People who believe in the appreciation of Bitcoin take advantage of the situation, trying to carefully acquire as many assets as possible for further work.

Who Believes in Cryptocurrency?

The wave of instability negatively affects investments. Investors are confused, trying not to lose their remaining funds, and confidently sell Bitcoins. But there are those who do not doubt the change in the situation. At the moment, everything has stabilized a bit.

Experts warn that players who have switched from Bitcoin to a currency that currently holds leading positions may suffer greatly. This is possible if less known and previously unpopular coins suddenly fall. If Bitcoin starts to rise, this is inevitable.

Moreover, there is no guarantee that other currencies will be able to rise again after falling. Currently, growth in the price of the main token is predicted. But no one can promise the same for temporary leaders in the cryptocurrency market.

The sharp falls and rises of Bitcoin allow for hope for better rates. The currency's position was originally stable, and its indicators never fell below $30,000. After a sharp drop, an equally rapid rise would begin. This is why experts assume that the situation can change at any moment. Those who believe in Bitcoin, do not sell it, and buy new coins can improve their financial position literally overnight.

The decline in the cryptocurrency's exchange rate removes old investors from the game, attracting new ones. They enter the market with a significant discount. Experts observe a trend: the more difficult the situation in the country, the more citizens trust cryptocurrencies. This means the market will never be empty. This is why, by the end of 2021, an increase in Bitcoin to the $100,000 level per unit is expected.