Top 3 Reasons Bitcoin (BTC) Could Touch $110,000 in 2023!
According to experts, there's a chance that Bitcoin (BTC) could start a massive bullish cycle as the weekly chart shows signs of strength. In fact, there are certain signs which tell us that the bear market of crypto is coming to an end.
However, there are also some people who believe that BTC is on its way to $12000! So this means that when it comes to forecasting the future price of Bitcoin (BTC), we would have to keep both analyses in mind.
Stock Rally Could Support Bitcoin's Price
The first reason for a potential upside move in Bitcoin is the rally in the stock market! On a macroeconomic scale, the behavior of Bitcoin is similar to that of other risky assets. However, one thing to note here is that Bitcoin's movement is not similar to gold!
In addition, the FTX saga has also weakened the positive correlation between the stocks and the BTC. However, this doesn't mean that this correlation has ended though!
That's why when the SPX moves in the 5700-6000 range, the price of Bitcoin will also touch 90,000-110,000.
On-Balance Volume Is Also Bullish
If we get purely technical, the OBV indicator is also painting a bullish picture. For starters, the weekly chart of BTC/USD is showing a bullish divergence of around 20 weeks! This is also an indication that the downtrend move in Bitcoin is weakening!
RSI Bullish Divergence
The third sign is a bullish divergence on the RSI indicator, which also tells us that Bitcoin is on a bullish path! So with the OBV, RSI, and stock correlation, it seems that things are looking good for Bitcoin in the next few months!
And once Bitcoin finally breaks its bearish cycle, it will also mean that the entire cryptocurrency asset class will turn green.
So it will not just be Bitcoin that will turn bullish - Instead, the whole cryptocurrency market will also move higher with it and increase the total market cap along with it.